Year
1979
Abstract
The current method of testing the inventory difference (ID) for each material balance period is not a very powerful procedure for detecting a continuing loss when the amount lost during each period is quite small. There is a need for action limit criteria using information such as cumulative inventory differences (CID) to enhance the probability of detection for such situations. This paper will present a method for making a single multivariate test using both ID and CID which will permit the calculation of power curves for the test.