Following are the particulars for the production of 5,000 sewing machines of Bharat Engineering Co. Ltd. for the year 2008 Materials Wages Manufacturing Expenses Salary Rent, Rates and Insurance General Expenses Selling Expenses Sales Rs.4.00,000 Rs.5,00,000 Rs.2.25,000 Rs.1,00,000 Rs. 20,000 Rs. 40,000 Rs. 60,000 Rs.15,00,000 The company plans to manufacture 6,000 sewing machines during the year 2009. You are asked submit a statement showing the price at which machines would be sold as to show a profit of 20% on the selling price. The following additional information is supplied to you (1) Price of materials will rise 10% on the previous year's level. (2) Wages rate are expected to show an increase of 20%. (3) Manufacturing expenses will rise in proportion to the combined cost of materials and wages (4) Selling expenses per unit will remain the same (5) Other expenses will remain unaffected by the rise in the output.
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not interested just taking points
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