Question
1. X Corp is in the process of improving its efficiency / productivity through implementation of new technology and equipment's. At the end of the
1. X Corp is in the process of improving its efficiency / productivity through implementation of new technology and equipment's. At the end of the year, the company provided the following data: production in units is 50,000 with selling price of P 10/ unit. The relevant inputs are as follows: Materials (in unit) of 25,000 with cost of P 2.00 per unit; labor hours of 5,000 hrs and labor rate of P 10/ hour. Compute the productivity ratio of the company as to materials.
2. If the company wants to achieve a residual income of P 40,000 using an imputed interest charge of 15%, what will be the selling price per unit of 20,000 units sold ; where its costs and expenses totaled P 250,000, working capital used totaled P 300,000 and PPE-net amounted to P 100,000.
please show the solution. thank you
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