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Sep dec 2019. Question 1 a

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › Sep dec 2019. Question 1 a

  • This topic has 2 replies, 2 voices, and was last updated 4 years ago by John Moffat.
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    Posts
  • February 25, 2021 at 7:10 am #611600
    draiells
    Member
    • Topics: 123
    • Replies: 141
    • ☆☆☆

    Sir pleeease explain, why dont we take account for financing cost in cost of holding inventory?? like we take 3% of avg inventory or something?

    February 25, 2021 at 7:49 am #611609
    draiells
    Member
    • Topics: 123
    • Replies: 141
    • ☆☆☆

    ohh never mind sir, I got it, because currently theyre financing with long term whose finance cost we’re ignoring long term finance cost, and only when we hold more inevntory in ii and iii part, we;ll take account for overdraft finance as holding cost.

    Thank youu

    February 25, 2021 at 9:06 am #611637
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54674
    • ☆☆☆☆☆

    I am please that you have got it 🙂

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    Posts
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  • The topic ‘Sep dec 2019. Question 1 a’ is closed to new replies.

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