Question 1: The relevant cost of materials O'Reilly has been approached by a customer who would like a special job to be done for him, and who is willing to pay GH22,000 for it. The job would require the following materials. Material Total Units Units Book value Relisable Replacement required already in of units in value cost inventory inventory GH/unit GH/unit GH/unit A 1,000 0 6.0 B 1,000 600 2 2.5 5.0 C . 1,000 700 3 2.5 4.0 D 200 200 4 6.0 9.0 Material B is used regularly by O'Reilly and if units of B are required for this job, they would need to be replaced to meet other production demands Materials and D are in inventory as a result of previous over-buying, and they have a restricted use. No other use could be found for material C, but the units of material D could be used in another job as substitute for 300 units of material E, which currently costs GH5 per unit (of which the company has no units in inventory at the moment). Required Calculate the relevant costs of material for deciding whether or not to accept the contract