Question $32.$

A company manufactures pavement bricks, the manufacturing costs, storage cost and

selling price is given below:

Manufacturing costs:

Storage cost:

Selling price:

Labour $$5$ per unit

Materials $$3$ per unit $($one month credit$)$

$$2$ per unit per month

$$10$ per unit

A$.$ Calculate the cash flow statement given:

$[10$ Marks$]$

$-8-$

B$.$ How many units does the company need to sell in July to produce a positive balance

given that it must manufacture at least $5000$ items? Assume overhead and interest rate

continue in the same way.

$[4$ Marks$]$