Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Good evening! Can you help me to do the task, please Thank you! Xebec Ltd manufactures three perfumes, Silk, Musk and Opia. The selling prices

Good evening!

Can you help me to do the task, please

Thank you!

image text in transcribed
Xebec Ltd manufactures three perfumes, Silk, Musk and Opia. The selling prices and the variable costs per unit of each product are as follows: Silk Musk Opia i 1'. Selling price 15 20 30 Variable cost 10 14 20 Xebec's xed costs are 150,000 per year. There is a shortage of the raw material called Essence which is used in all three products. Silk uses 2 kilos, Musk uses 1 kilo and Opia uses 3 kilos of Essence per unit of output. Only 120,000 kilos of Essence will be available for the year, In addition, market constraints are expected to restrict the production and sales of each product for the year to: Units Silk 40,000 Musk 8,000 Opia 1 5,000 Required: Calculate the mix of sales which would enable Xebec Ltd to maximise prots, and calculate the prot for the year which would be achieved by that sales mix

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Multicolumn Journal

Authors: Claudia Gilbertson

10th Edition

128552845X, 9781285528458

More Books

Students also viewed these Accounting questions

Question

understand the selection bias in contemporary work psychology;

Answered: 1 week ago