Question

The expenses budgeted for production of 10000 units in a factory are furnished below:
Particulars Amount in Rs per unit.
Materials 280
Labour 100
Variable overheads 80
Fixed overheads (Rs.400000) 40
Variable expenses (Direct) 20
Selling expenses (10% fixed) 52
Distribution expenses (20% fixed) 28
Administration expenses (Rs.200000) 20
Total 620
Prepare a flexible budget to produce 10000 units and 20000 unit

Answer 1

Answer:

10,000 is the correct answer