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Kahlenberg Ltd is in the process of preparing a quotation for a special job for a customer. The job will have the following material requirements:
Kahlenberg Ltd is in the process of preparing a quotation for a special job for a customer. The job will have the following material requirements: Material Units required Units currently held in inventory Quantity held Historic cost /unit Sales value /unit Replacement cost /unit 200 0 40 150 62 50 40 Material B is used constantly by the business on various jobs. The business holds material C as the result of previous overbuying. No other use (apart from this special job) can be found. As it is a dangerous material, the business knows that it will cost 400 to use the material currently held. If it chooses to, the business could sell the raw materials already held in their present state. Required: What is the relevant cost of the materials for the job specified above
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