course accounting and finance

subject management accounting

Editing You have been engaged with Blue White manufacturing company to provide advice on the most profitable production plan for the company The company makes three products X, Y and Z and the appropriate data e follows Coster unit and selling price X Y Z RM 15.00 RM 45.00 RM 30.00 36.00 30.00 45.00 15.00 Direct Material Cost RM3 per meter) Direct Labour Cost Process A (RM3 per direct labour hour Process B (RM5 per direct labour hour) Process C (RM9 per direct labour hour) Variable Overhead Cost Fixed Overhead cost Selling Price 18.00 30.00 18.00 9.00 36.00 30.00 33.00 150,00 20.00 36 00 190.00 50.00 39.00 260.00 N Budgeted volume per annum 4000 5.000 6,000 Y Z Budgeted volume per annum 4,000 5,000 6.000 There is a constraint on the direct labour hours for Process A which is limited to 160,000 direct labour hours. The sales director has already accepted an order for 1000 X, 2000 Y and 2000 Z which must be supplied. These quantities are included in the market demand estimates above. a Required: Identify any shortfall for the year 2021 based on the above information (5 marks) b. Determine the production units of each product in order to maximise profit. MyCar Zuzi based on the above information (5 marks) b. Determine the production units of each product in order to maximise profit. 3 (18 marks) C. Calculate the maximum profit based on your answer obtained in (b) above. (7 marks) (Total : 30 marks)