help out with the sum

Cost Accounts 611 views 2 replies

Q.8      The cost of an article at a capacity level of 10,000 units is given under X below. For a variation in capacity above or below this level the individual expenses vary as indicated in Y below:

 

 

X (Rs.)

Y

Materials      

Wages          

Power           

Repairs        

Stores         

Inspection     

Office Overheads

Depreciation   

Selling expenses

50,000

30,000

 3,000

 3,500

 2,000

   800

 3,600

10,000

 4,500

 100% Varying

 100%   

  80%   

  80%   

 100%   

  25%   

  25%   

 100%   (Fixed)

  50% Varying

 

1,07,400

 

Cost per unit 10.74. Find out the unit cost of the product under each individual expense at production levels of 4,000 units and 6,000 units.

 

give me ans pls

thanks in advance

Replies (2)

 

6,000 Units
  Variable Fixed Total
Materials        30,000 0 30,000
Wages            18,000 0 18,000
Power            1,440 600 2,040
Repairs          1,680 700 2,380
Stores           1,200 0 1,200
Inspection       120 600 720
Office Overheads 540 2,700 3,240
Depreciation     0 10,000 10,000
Selling expenses 1,350 2,250 3,600
  54,330 16,850 71,180

Cost per unit is 11.86

 

 

 

4,000 Units

 

Variable

Fixed

Total

Materials       

20,000

0

20,000

Wages           

12,000

0

12,000

Power           

960

600

1,560

Repairs         

1,680

700

2,380

Stores          

800

0

800

Inspection      

80

600

680

Office Overheads

360

2,700

3,060

Depreciation    

0

10,000

10,000

Selling expenses

900

2,250

3,150

 

36,780

16,850

53,630

Cost per unit is 13.4075


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