HASF Glassworks makes glass flanges for scientific use Material cost Rs.5 per flange and

the glass blowers are paid a wage rate of 60 per hours a glass blower blows 20 flanges in two

hours. Fixed manufacturing costs for flanges are 15000 per period. other non-manufacturing cost

associated with flanges are 7,500 per period and are fixed.

Required

1. find out variable cost per units and total fixed cost (02 marks)

2. Assume Company manufactures and sells 10,000 flanges this period their competitor

sells flanges for 7 each. can company sell below competitor price and make a profit on

the flanges

3. how would be your answer to requirement 2 differ if company made and sold 20,000

flanges this period why