[huzaifaminhas]

answer is 1.28m unrealised profit and deduct from consolidated cost of sales since purp needs to be eliminated to reduce consolidated profit. is it right or wrong, please explain.

[huzaifaminhas]

i dont understand the term even throughout the year, what does that mean? its asking for total annual cost of holding and ordering so should we not include purchase price multiplied by annual demand. Also i calculated the answer and it comes Co=600000/50000×5=60
Ch= 50000/2×2=50000.
please let me know if im calculating it the right way.

[huzaifaminhas]

Thank youu

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