Question

The expenses budgeted for production of 10,000 units in a factory is furnished below: Particulars Per unit Rs. Material Labour Variable overhead Fixed overheads (Rs. 100,000) Variable expenses (direct) Selling expenses (10% fixed) Distribution expenses (20% fixed) Administration expenses (Rs. 50,000) 70 25 20 10 5 13 7 5 Total cost of sale per unit 155 Required: A budget for production of 6,000 units and 8,000 units of showing total cost, Assume that administration expenses are rigid for all levels of production.

Answer 1

Answer:

The expenses budgeted for production of 10,000 units in a factory is furnished below: Particulars Per unit Rs. Material Labour Variable overhead Fixed overheads (Rs. 100,000) Variable expenses (direct) Selling expenses (10% fixed) Distribution expenses (20% fixed) Administration expenses (Rs. 50,000) 70 25 20 10 5 13 7 5 Total cost of sale per unit 155 Required: A budget for production of 6,000 units and 8,000 units of showing total cost, Assume that administration expenses are rigid for all levels of productionExplanation:

Answer 2

Explanation:

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