QUESTION $4(15$ MARKS, $27$ MINUTES$)$ SUPP JUNE $2019$

$4\mathrm{.}1$ The following information is available for electricity costs for the last six months.

$\backslash$table$[[$Month$,\backslash$table$[[$Production$],[$Volume$]],\backslash$table$[[$Electricity$],[$Cost$]]],[$December$,42000,480000],[$January$,15000,240000],[$February$,11000,160000],[$March$,29000,320000],[$April$,51000,520000],[$May$,22000,320000]]$

$4\mathrm{.}2$ Xtreme manufacturers produces fast moving consumer goods for those who reside around suburbs of Rundu town. On $30$ April $2019$ unfortunately there was a fire outbreak which destroyed most of the costing records. The following information was however salvaged:

Direct labour cost $700000$

$\backslash$table$[[$REQUIRED:$,\backslash$table$[[$MARKS$],[6]]],[4\mathrm{.}1\mathrm{.}1,\backslash$table$[[$Compute the fixed$],[$method and determ$]],\backslash$table$[[$e components of electricity costs using the least squares$],[$t function$]]],[4\mathrm{.}1\mathrm{.}2,\backslash$table$[[$There is an anticipa$],[N$$$375000.$ What$]],\backslash$table$[[$rationing in June restricting the cost to$],[$ted production?$]],1],[$TOTAL MARKS,$7],[$Raw materials,$1055000,],[$Manufacturing overheads,$525000,],[$Raw material returns,$5000,]]$

Other relevant information:

$($i$)$ Xtreme manufacturers normally transfers $80\%$ of the raw material to production

$($ii$)$ Work$-$in$-$progress completed was $70\%$

$($iii$)$ Finished goods are transferred to sales department at a margin of $\frac{331}{3}\%.$

$\backslash$table$[[$REQUIRED:$,$MARKS$],[4\mathrm{.}2\mathrm{.}1,$Compute the value of closing inventory for; Raw materials and Work$-$in$-$progress,$4$