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Peanut's product cost is at P50 per unit. Composition of the product cost is P14 for selling expense, and the total variable cost is determined
Peanut's product cost is at P50 per unit. Composition of the product cost is P14 for selling expense, and the total variable cost is determined to be P38 a unit. How much is the mark up percentage on variable cost assuming a P20 desired profit? (Use % symbol in your answer) Peanut Butter come from Peanut produce. Peanut produce are available in the market at P30 per kilo and costs P28 per kilo. On the other hand, Peanut Butter sells at P60 per kilo, however, this will have further processing, with equivalent cost of P24 per kilo to make. What is the relevant cost in decision making to decide whether or not to produce Peanut Butter? A company is about to close its branch operations in Mabalacat City, in its branch is an equipment that was previously purchased at a cost of P50,000 and can be sold at P25,000. However, this is subject to a 5% processing fee. On the other hand, the accountant of the branch suggested that the equipment be leased out for half a decade, earning an estimated revenue of P48,750, and is expected to pay maintenance expense of P10,000 over the lease duration. After the lease the equipment will no longer have a residual value. How much is the differential net income from the lease option suggested by the accountant assuming that the equipment in question is already depreciated by P40,000
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