Assignment Question:

Printing Ltd manufactures "printers". At the moment the business has two types of products on the market, the"Compact"and the"Multi-Function". In order to remain competitive the business is looking at expanding the range of products in the next 12 months. The company currently uses a traditional costing system and allocates overheadcostsbased on anestimated 83,200 direct labour hours.The following cost information has been used as a basis for pricing decisions over the past year. The company has produced a total of 145,000 units, 60% are of the Compact and 40% are of the Multi-function.