Queation $1$

ABC Is a producer for vehicle parts. The following table showr information on the budgeted sales

andproduction:

a$.$ Prepare the Budgeted income Statement and the Actual income Statement. Conduct a variance

analysis between the budget and the actual statements. $($Answer should include highilghting the issues

and problems the company nave taced$).$

The following table are the actual outcome of the operation. Prepare the Actual Tota Manufacturng Cost

of the Company. Calculate the Actual Tota Variable Cost per Unt, Actual Total Fixed Overhead Cost per

Unt and Actual Total Manufacturing Cost per unit and prepare a variance analysis.

$(32$ mark$8)$Quantity$/$Price

Unit Seles

$100$ units

Price

$350$ RM

Units to produce

$120$ units

b$.$ The company is also attempting to improve the situation. The following plans are being discussed.

Calculate the break$-$even point in units for each of the plans. Use the actual cost for calculations.

Evaluate based on the break$-$even analysis, the plan that the company should take.

$(18$ marks$)$