Question 2 Damsy Bhd manufactures four products using the same machinery. The following details relate to its products: Product A Product B Product C Product D RM per unit RM per unit RM per unit RM per unit Selling price 28 30 45 42 42 Direct material 5 6 8 6 Direct labour 4 4 8 8 Variable overhead 3 3 6 6 Fixed overhead* 8 8 16 16 Profit 8 9 7 6 Labour hours 1 1 2 2 Machine hours 4 3 4 +++ 5 Units Units Units Units Maximum demand per week 200 180 250 100 *Absorbed based on budgeted labour hours of 1000 per week. ACC2114 (F)/Page 3 of 5 There is a maximum of 2000 machine hours available per week. Required: (a) Determine the production plan which will maximise the weekly profit of Damsy Bhd. (6 marks) (b) Prepare a profit statement showing the profit your plan in (a) above will yield. (14 marks) (c) Provide suggestion on how Damsy Bhd can overcome the problem which is mentioned in the question above. (5 marks) (Total: 25 marks)