=+The company is currently producing and selling 252000 drums per year of Twisteze, which represents 70% of

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=+The company is currently producing and selling 252000 drums per year of Twisteze, which represents 70% of annual capacity.

Factory accounts show the following monthly costs for average output:

Total cost Unit cost f f Materials 13650 0.65 Wages and salaries 16800 0.80 Depreciation 5250 0.25 Rent 6300 0.30 Sundry plant expense 6720 0.32 Delivery costs 1470 0.07 Sales commissions 9450 0.45 f59640 f2.84

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