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MKU Online Exams b. Assume that ABC Lid makes four components with the following information: N Production (units) 1000 2000 4000 3000 Unit marginal costs

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MKU Online Exams b. Assume that ABC Lid makes four components with the following information: N Production (units) 1000 2000 4000 3000 Unit marginal costs Direct material N LO Direct labour CO Variable O/H Attribute Fixed Cost Sub contractor price O To S 1000 5000 X > N 6000 X > N 8000 Committed Fixed Costs are Sh.30000 Assume that machine hours per unit required to produce the components are Machine Hours W 4 X 5 Y 3 The total machine hours available are 27000 hours during the budget period. Required: AThe total machine hours available are 27000 hours during the budget period. Required: Advice the company on which products to make and the ones to buy externally. (10 Marks) Click "Browse" to locate your file and then click "Upload" to upload your file. (Maximum file size: 40MB) File: Choose File No file chosen Upload U F11 F12 F4 F10 F3 F5 F9

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