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Need urgent A manufacturer with overall (interchangeable among the products) capacity of 1,00,000 machine far producing a standard mix of 15,000 units of product A,
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A manufacturer with overall (interchangeable among the products) capacity of 1,00,000 machine far producing a standard mix of 15,000 units of product A, 10,000 units of product B and C each. On experience, the total expenditure exclusive of his fixed charges is found to be * 2.09 lakhs and the cost ratio among the product ap- proximately 1, 1.5, 1.75 respectively per unit. The fixed charges comes to 32 per unit. When the unit selling prices are? 6.25 for A, 7.5 for B and 10.5 for C. He incurs a loss. Mix-1 Mix-11 18,000 15,000 B 12,000 6,000 7,000 13,000 As a management accountant what mix will you recommend Mix-111 22,000 8,000 8,000Step by Step Solution
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