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material usage

Forums › FIA Forums › MA1 Management Information Forums › material usage

  • This topic has 2 replies, 3 voices, and was last updated 9 years ago by Ofelia.
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  • January 5, 2015 at 8:07 am #221980
    GanJiaXin
    Member
    • Topics: 1
    • Replies: 0
    • ☆

    Each finished unit of Product X contains 1.4 litres of Material Y.10% of meterial Y used is losed in processing.Sales and Production of Product X in a period were 21000 and 20200 units respectively.
    What was the usage of Material Y in the period ?

    January 5, 2015 at 8:37 am #221982
    mansoor
    Participant
    • Topics: 424
    • Replies: 542
    • ☆☆☆☆

    20200 were produced. if there were no losses, the material used would be:

    20200 x 1.4 = 28280

    but there is a loss, which is 10%. this means we wd need to use extra bit of 10%. If A is the total material to be used, this means:

    A – 10%A = 1.4
    0.9A=1.4
    A=1.4/.9 = 1.56

    thus total material used = 1.56 x 20200 = 31,512

    June 2, 2015 at 5:14 pm #252007
    Ofelia
    Member
    • Topics: 0
    • Replies: 1
    • ☆

    Any one of you have more questions like this that can be posted so I can get a better understanding of this topic.

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