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Delta Manufacturers Ltd has the following materials ininventories: A B 150 100 50 15 20 6 No. of units held in a company (i.e warehouse)

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Delta Manufacturers Ltd has the following materials ininventories: A B 150 100 50 15 20 6 No. of units held in a company (i.e warehouse) Purchase cost per unit (Historic cost) Net realisable value (Sales/Scrap value) Replacement cost (Market purchase price) 4 8 8 7 9 10 A material is in constant use by the company. The company has been asked to tender for a contract that requires 100 units of A. B material cannot be used for any other purpose within the business except the new contract. It was bought a long time ago and hasn't been used due to the wrong order. The company has been asked to tender for a contract that requires 200 units of B. C material is in constant use by the company. The company has been asked to tender for a contract that requires 150 units of C. What is the total relevant cost of the material A for new contract What is the total relevant cost of the material B for new contract What is the total relevant cost of the material C for new contract Internal Limited is an engineering company that owns a non-working machine, which it wants to sell. The company originally paid 9,000 to buy the machine and without the part it could be sold for an estimated 7,200. The machine needs a replacement part before it can be sold. It is possible to buy the part for 470. This would take 12 hours to fit by one of the company's engineers who is paid 15 an hour and who are currently busy and generate sales of 60 per hour from customers. For each of the above costs, kindly enter the relevant cost to be considered below: Replacement part cost Total Labour cost Machine cost

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