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how to get an answer for an accounting problem
Asked Dec 9, 2012, 03:23 PM
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2 Answers will a cost that says per unit or activity will it always be a variable cost |
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| Usha Company produces three consumer products : P, Q and R. The management of the company wants to determine the most profitable mix. The cost accountant has supplied the following data. Usha Company : Sales and Cost Data Description Product Total P Q R Material Cost per unit Quantity (Kg) 1.0 1.2 1.4 Rate per Kg (Rs) 50 50 50 Cost per unit (Rs) 50 60 70 Labour Cost per unit 30 90 90 Variable Overheads per unit 15 10 25 Fixed Overheads (Rs .000) 9,175 Current Sales (Units ,000) 100 50 60 210 Projected Sales (Units ,000) 109 55 125 289 Selling Price per unit (Rs) 150 200 270 Raw material used by the firm is in short supply and the firm can expect a maximum supply of 350 lakh kg for next year. Is the company’s projected sales mix most profitable or can it be changed for the better? | ||||
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| A ship-owner agreed to carry to cargo of sugar belonging to A from Constanza to Busrah. He knew that there was a sugar market in Busrah and that A was a sugar merchant, but did not know that he intended to sell the cargo, immediately on its arrival. Owning to Shipment’s default, the voyage was delayed and sugar fetched a lower price than it would have done had it arrived on time. A claimed compensation for the full loss suffered by him because of the delay. Give your decision. Explain Briefly? | ||||
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