1) there is no formula or need to calculate min. inve. level, safety inv., free inv. etc?
2) To calculate max. inve. level there is formula studied in ma2, formula is: reorder level + reorder quantity – (mix. inventory * min. lead time).
but in video the formula isn’t use, why??
Ask the Tutor ACCA MA
inventory control
Simply learning formulae is too dangerous - the examiner deliberately sets questions in ways that check that you understand what is happening and ate not just learning rules.
What is or isn't relevant for Paper MA2 does not concern me. In my MA lectures I cover everything needed to be able to pass Paper MA well.
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