A factory’s normal capacity is 1,20,000 units per annum. The estimated costs of production are as follows:

direct materials, Rs. 6 per unit; direct labour, Rs. 4 per unit (subject to a minimum of Rs. 24,000 p.m.); overheads (fi xed), Rs. 3,20,000 p.a.; variable, Rs. 4 per unit; semi-variable, Rs. 1,20,000 p.a.; up to 50% capacity and an additional Rs. 40,000 for every 20% increase in capacity or part thereof.

In 2009 the factory worked at 50% capacity for the fi rst three months, but it was expected that it would work @

80% capacity for the remaining 9 months.

During the fi rst three months, the selling price per unit was Rs. 24. What should be the price in the remaining 9 months to produce a total profi t of Rs. 4,36,000?