Question # $3$

A division of Rhine auto has received an enquiry from one of its major customers for a special order for a component that will required $1,000$ skilled labour hours. Skill labour is currently in short supply and if the company accept the order then it will be necessary to reduced production of component $P.$ Detail cost per unit and selling price per unit of component $P$ are as follows:

Rs$.$

Sales price

$88$

Direct labour $(4$ hours @ Rs$\mathrm{.}10)$

Other variable cost

Contribution margin

$40$

${12}_{?}$

Required:

Calculate the relevant cost.