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Beauty Products Ltd. has the following cost data for its two product ranges, Skincare and Haircare: Particulars Skincare () Haircare () Direct Material 1,00,000 1,30,000
Beauty Products Ltd. has the following cost data for its two product ranges, Skincare and Haircare:
Particulars | Skincare (₹) | Haircare (₹) |
Direct Material | 1,00,000 | 1,30,000 |
Direct Labour | 1,20,000 | 1,50,000 |
Factory Overheads | 1,40,000 | 1,70,000 |
Selling and Distribution | 60,000 | 70,000 |
Requirements:
- Calculate the total cost for each product range.
- Determine the cost per unit if the production volumes are 9,000 units for Skincare and 11,000 units for Haircare.
- Compute the selling price per unit if the desired profit margin is 22% on cost.
- Assess the impact on total cost if direct material costs increase by 12%.
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