Example 11: ZED Ltd. manufactures two products P & Q and sells them at 215 and 320 per unit respectively. The variable costs per unit are as under: Product-P Product- Raw Materials: Material - X 22.00 28.00 Material -Y 8.00 32.00 Direct Wages (Rs. 6 per labour hour) Department - 36.00 54.00 Department-B 18.00 36.00 Department - 54.00 Department -D 72.00 Variable Overheads 23.00 14.30 The company procures raw materials against import license. The company operates at single shift a day of 8 hours for 300 days in a year. The numbers of workmen engaged are 30, 16, 18 and 24 in departments A, B, C and D respectively. Neither the workers are subject to transfer from one department to another nor is any new recruitment possible at present. Fixed costs are Rs. 12000 per month. You are required to find out the following: (a) The product mix to yield maximum profit (b) The most profitable product if only one product is to be manufactured. Whether the answer will differ if license to import raw materials is released only for 180000? S Example 11: ZED Ltd. manufactures two products P & Q and sells them at 215 and 320 per unit respectively. The variable costs per unit are as under: Product-P Product- Raw Materials: Material - X 22.00 28.00 Material -Y 8.00 32.00 Direct Wages (Rs. 6 per labour hour) Department - 36.00 54.00 Department-B 18.00 36.00 Department - 54.00 Department -D 72.00 Variable Overheads 23.00 14.30 The company procures raw materials against import license. The company operates at single shift a day of 8 hours for 300 days in a year. The numbers of workmen engaged are 30, 16, 18 and 24 in departments A, B, C and D respectively. Neither the workers are subject to transfer from one department to another nor is any new recruitment possible at present. Fixed costs are Rs. 12000 per month. You are required to find out the following: (a) The product mix to yield maximum profit (b) The most profitable product if only one product is to be manufactured. Whether the answer will differ if license to import raw materials is released only for 180000? S