Prudential Ltd makes 4 products, P, Q, R and S from the same materials. The sale...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Prudential Ltd makes 4 products, P, Q, R and S from the same materials. The sale price and variable cost per unit are as follows: Explain the term 'limiting factor'. Material A @ RM12/kg Material B Direct labour Variable overhead Selling price Sales units (a) (b) h P RM 6 4 5 2 25 4000 Q RM 4 8 10 2 23 5000 R RM 3 10 10 3 31 8000 S RM 8888 2 Most production resources are in sufficient supply but there will only be 6500 kg of Material A available in the period. The fixed overhead amount to RM20,000 per period. Required: 2 32 6000 Calculate the production quantity of each product to be produced to maximize profits in the period. (15 marks) State the maximum profit. Prudential Ltd makes 4 products, P, Q, R and S from the same materials. The sale price and variable cost per unit are as follows: Explain the term 'limiting factor'. Material A @ RM12/kg Material B Direct labour Variable overhead Selling price Sales units (a) (b) h P RM 6 4 5 2 25 4000 Q RM 4 8 10 2 23 5000 R RM 3 10 10 3 31 8000 S RM 8888 2 Most production resources are in sufficient supply but there will only be 6500 kg of Material A available in the period. The fixed overhead amount to RM20,000 per period. Required: 2 32 6000 Calculate the production quantity of each product to be produced to maximize profits in the period. (15 marks) State the maximum profit.
Expert Answer:
Answer rating: 100% (QA)
A limiting factor is a constraint that limits or restricts other factors from being fully expressed ... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
Selling price per unit $750 Variable cost per unit $450 Annual fixed cost $180,000 Net income after tax $360,000 Tax rate 25% 1)Reduce the selling price by $60. The sales team forecast that with a...
-
a) Viking Corporation's variable cost per unit produced is $100. Wholesaler Y offers to buy 2,000 additional units at $120 each. Wholesaler Z proposes to buy 1,500 additional units at $140 per unit....
-
1. Within the relevant range: variable cost per unit decreases as production decreases. fixed cost per unit decreases as production decreases. variable cost per unit increases as production...
-
Timco is considering the construction of a new retail outlet. The construction cost will be 400000. Net working capital will increase by 10000. The depreciation is 10 year MACRS. The new location...
-
The NIKE 10-K Form is reproduced in Appendix C. Required: a. Review the NIKE SEC Form 10-K and analyze the financial statements by assessing NIKEs earning power and solvency, and provide support for...
-
1) Assume the code shown below is contained in the file pairOf Dice.py. from random import choice class PairOfDice: def init (self) : self. redDie = 0 self. blueDie = 0 def getRedDie (self) : return s
-
Using the accrual accounting basis, when are revenues and expenses recognized?
-
Some product development expenditures are recorded as development expenses and others as development costs. Explain the difference between these accounts and how a company decides which...
-
Discuss the role of strategic alliances in enhancing competitiveness and efficiency in business operations.
-
Express Delivery is a rapidly growing delivery service. Last year, 80% of its revenue came from the delivery of mailing "pouches" and small, standardized delivery boxes (which provides a 20%...
-
Ricardo Food es una empresa que opera mquinas expendedoras en oficinas y escuelas. Los costos fijos mensuales de Ricardo Food son: Alquiler de 40 mquinas: $2,140.00 Sueldos de los empleados:...
-
Research a case where a large company was held liable for an item that was defective. How did the company handle the issue? Was there a class action suit, if so, please give the details. A recent...
-
Give a big-O estimate (in terms of n) for the number of additions used in this segment of an algorithm. t := 0 for i 0 to n do for j '= 0 to n do t=t+1 end for end for
-
Describe the use of cost behaviour classification, and Suggest possible cost drivers in determining their manufacturing costs, of 2 manufacturing companies which are Top Glove and Malaysia Steel...
-
Why the activity "preventive maintenance" can be a value-added activity? I think it is not because (1) it neither increases customer value nor brings the product closer to completion and (2) it is...
-
Costco has received the following demands for a product this year: Month 1 2 3 4 5 6 7 8 9 10 11 12 Demand 300 700 800 900 3300 200 600 900 200 300 1000 800 Suppose ordering cost (OC) is $504 and...
-
Two long, straight, parallel wires are 10.0 cm apart and carry 4.20 A currents in the same direction (see (Figure 1)). Part A Find the direction of the magnetic field at point P, midway between the...
-
As you rewrite these sentences, replace the cliches and buzzwords with plain language (if you don't recognize any of these terms, you can find definitions online): a. Being a jack-of-all-trades, Dave...
-
Mary Smith sells gourmet chocolate chip cookies. The results of her last month of operations are as follows: Sales revenue.......... $50,000 Cost of goods sold (all variable)... 26,000 Gross...
-
Marling Machine Works produces soft serve ice cream freezers. The freezers sell for $12,000, and variable costs total $8,200 per unit. Marling incurs $6,840,000 in fixed costs during the year. The...
-
The Seago Company is planning to purchase $500,000 of equipment with an estimated seven-year life and no estimated salvage value . The company has projected the following annual cash flows for the...
-
How is the average rate of return computed for capital investment analysis, assuming that the effect of straight-line depreciation on the amount of the investment is considered?
-
Which method of evaluating capital investment proposals reduces their expected future net cash flows to present values and compares the total present values to the amount of the investment?
-
Which two methods of capital investment analysis can be described as present value methods?
Study smarter with the SolutionInn App