Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

QUESTION 2 (20 Marks) QUESTION 3 (20 Marks) 2.1 REQUIRED REQUIRED Study the information provided below and prepare the Income Statement for the year Study

image text in transcribed
QUESTION 2 (20 Marks) QUESTION 3 (20 Marks) 2.1 REQUIRED REQUIRED Study the information provided below and prepare the Income Statement for the year Study the information given below and answer the following questions independently: ended 31 December 2023 using the marginal costing method. (11 marks) 3.1 Use the marginal income ratio to calculate the break-even value. (4 marks) INFORMATION 3.2 Calculate the sales volume required to achieve a net profit of R1 740 000. (4 marks) Marburg Manufacturers started operations on 02 January 2023. It produced 50 000 units of the only 3.3 Calculate the total Marginal Income and Net Profit/Loss if an increase in product that it manufactures and sold 80% of the units produced at a price of R150 per unit during advertising expense by R200 000 is expected to increase sales by 3 000 units. (4 marks) 2023. Variable manufacturing costs amounted to R50 per unit and variable marketing costs amounted 3.4 Calculate the margin of safety (in units) if the variable manufacturing costs to R30 per unit. Fixed costs totalled R1 200 000 of which 70% was for manufacturing and 30% was for increase by 10% and fixed manufacturing overheads cost increase by R24 450. (4 marks) administration and marketing. 3.5 Based on the expected sales volume of 40 000 units, determine the sales price per unit that will allow the company to break even. (4 marks) 2.2 INFORMATION REQUIRED Peryton Limited produces only one product. Expected sales are 40 000 units per year and sales price Use the information given below to calculate the following variances. In each case also state whether is R150 per unit. The relevant costs are as follows: the variance is favourable or unfavourable. Unit Variable cost Total fixed cost 2.2.1 Material quantity variance (3 marks) Direct materials R30 2.2.2 Total labour variance (without using the labour rate and efficiency variances) (3 marks) Direct labour R36 2.2.3 Variable manufacturing overheads expenditure variance (3 marks) Manufacturing overheads R15 R450 000 INFORMATION Marketing expenses R9 R150 000 Sona Manufacturers uses the standard costing system. The standards are as follows: Administrative expenses R180 000 Direct material 3 kg @ R8 per kg Labour 5 hours at R100 per hour Variable manufacturing overheads R20 per labour hour Fixed overhead R30 000 Normal production 19 000 units Actual information for March 2024 Direct material used 61 000 kg at R7.80 per kg Labour 98 000 hours at R105 per hour Variable manufacturing overheads R1 862 000 Fixed overnead R32 000 Actual production 20 000 units

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Modern Advanced Accounting In Canada

Authors: Hilton Murray, Herauf Darrell

9th Edition

1259654699, 978-1259654695

More Books

Students also viewed these Accounting questions

Question

=+how the customer arrived at their site.

Answered: 1 week ago

Question

Differentiate 3sin(9x+2x)

Answered: 1 week ago

Question

Compute the derivative f(x)=(x-a)(x-b)

Answered: 1 week ago

Question

Personal role: This consists of service to family and friends.

Answered: 1 week ago

Question

The role of life: It consists of your own service to yourself.

Answered: 1 week ago