Costing Final Priblem

Cost Accounts 1063 views 2 replies

Have anyone solution of Advance Costing of  Padhuka

Chapter – Marginal Costing
Exercise – 20 (Final May – 1995)
 
Please Forward Me…
 
dharmco @ gmail.com

 

Replies (2)

the prob can be solved by apllying maxima minima.

Let 'y' be the total contribution that has to be maximised and 'x' be the selling price . now set the following equation:
y= [10000-(x-25)X500/0.5](x-17)
y=52000x-595000-1000x2
then dy/dx=52000-2000x and d2y/dx2=-2000
setting dy/dx=0 we get 52000-2000x=0 or x=26  hence the selling price is Rs.26. the quantity sold is 9000units.

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