Shriram Ramachandran (IPCC Student CWA Inter & Processing officer in GNSA Infotech Ltd) (492 Points)
30 March 2011ROQ = 100 Units, Max Usage = 50 Units, Max Level = 100 Units, Min LT = 2 Weeks
Find Min Level, ROL & Avg Level.
Plz tell me how to solve this Question.
Thanks in Advance
R SHRIRAM
CA Naveen Kumar Agrawal
(Chartered Accountant / MBA)
(939 Points)
Replied 30 March 2011
in ur ques figures are not supporting to the concept of this chapter... either u have manipulated with data or misrepresented data....
as max lvl can not be equal to ROQ.. it should be more than ROQ
coz MAX LVL = ROQ + ROL - (MIN USG* MIN LT)
so as per ur data ROL = MIN USG * MIN LT
which seems not to be good....
plz check it out once again. even if u find no change then leave the ques. n concentrate on another one.
Shriram Ramachandran
(IPCC Student CWA Inter & Processing officer in GNSA Infotech Ltd)
(492 Points)
Replied 30 March 2011
Sorry sir I am not manipulated with data I took this Question from a book, but I have the solution in the same book which I cant able to understand so to know the easy way to solve the probs I posted in this Form. Here is the solution given in the book.
Sol: Avg Lvl = (Min Lvl + Max Lvl)/2
Avg Lvl = Min Lvl + (ROQ/2)
Therefore (Min Lvl + Max Lvl)/2 = Min Lvl + (ROQ/2)
When Multiplying by 2
Min Lvl + Max Lvl = 2(Min Lvl) + ROQ
Max Lvl = 2(Min Lvl) - Min Lvl + ROQ
Max Lvl = Min Lvl + ROQ
Or Min Lvl = Max Lvl - ROQ
So Min Lvl =100-100 = 0
As Min Lvl = 0 = ROL - (Avg Usage * Avg LT)
So ROL = Avg Usage * Avg LT
As Max Lvl = ROQ = 100, ROL = (Min Usage * Min LT)
So Avg Usage * Avg LT = Min Usgae * Min LT
Therefore Avg Usage * Avg LT = Min Usage * Min Usage = Max Usage * Max LT
So Min Usage = Max Usage = Avg Usage & Min LT = Max LT = Avg LT
ROL = Avg Usage * Avg LT = 50(Max Usage in Ques) * 2 (Min LT in Ques) = 100
Min Lvl = ROL - Avg LT
So Min Lvl = 0
Avg Lvl = (0+100)/2 = 50
ROL = 100, Min Lvl = 0 Avg Lvl =50
Thanks
R Shriram
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