Accountancy, asked by aishwaryathakur740, 9 months ago

The budgeted expenses of three departments of Raja engineering company for the year 2014- 15 are as follows: A B C Direct material 120000 95000 90000 Direct wages 115000 80000 80000 Factory overheads 95000 65000 63750 Administrative overheads 20000 20000 12000 Direct labour hours 1000 13000 7500 The company recovers factory overheads at direct labour rates and administration overheads as percentage of factory cost. The direct costs and labour hours incurred on job number 26 completed during the year are as follows: Department A Department B Department C Direct material 6000 5000 4000 Direct wages 4200 3300 2250 Direct labour hours 1000 1200 600 What price should be charged for job number 26 to include a profit of 10% on cost?

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Answered by Anonymous
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