Cost and Managerial accounting questions 1 and 2

QUESTION ONE Ghana Nuts Ltd has demand for 80,000 bags of share nuts p.a. and the purchase pric of each bag is $25. There are ordering costs of $20 for each order placed. Inventory holding costs amount to 10% p.a. of inventory value. Required: Calculate the inventory costs p.a. for the following order quantities, and pld them on a graph: (a) 1,000 bags (b) 1,500 bags (c) 2,000 bags (d) 2,500 bags (15 marks) QUESTION TWO The following information relates to the manufacture of Product GALI in 2018: Output (Units) Total cost (S) 200 7,000 300 8,000 400 8,600 For output volumes above 350 units the variable cost per unit falls by 10%. (Note: this II applies to all units - not just the excess above 350) (15 marks) Required: Estimate the cost of producing 450 bags of GALI in 2019