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Can you solve the questions step by step? A3 Digdeep Digdeep sells gardening tools but has a limited supply of materials to make the spades,
Can you solve the questions step by step?
A3 Digdeep Digdeep sells gardening tools but has a limited supply of materials to make the spades, forks and hoes. The management accountant has been asked which products should take priority, given a total availability of 2,600 kg of raw material. She has also been given the following information, including the raw material cost of 2 per kg. Spade Fork Hoe Selling price 40 Materials Labour Variable overhead Fixed Overhead per item Total annual demand 30 10 5 3 4 300 35 4 5 3 4 200 | WN000 400 1.What is the unit contribution per product? Hoe 21 Spade 8 20 15 12 A B D Fork 19 31 26 32 23 26 24 correct 2. How much of the limited resource is required of each product in kg? Spade Fork Hoe A 5 2 4 correct B 10 4 8 5 5 6 D 3 3 2 3. What is the contribution per limited resource? A B Spade Fork Hoe 2 2 2 12 23 24 2.4 11.5 6 8 19 21 correct 4. In which order of priority should the garden tools be made? A B Fork Spade Hoe 1 2 3 1 2 1 3 2. correct 3 2 3 1 5. How many of each product should be made? Spade Fork Hoe A 120 400 1600 B 120 200 400 correct 300 200 175 400 200 1600
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