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Question Pedro Sdn Bhd. manufactures and sells two cookware products in a single plant. The new manager wants to have quarterly budgets and has prepared

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Pedro Sdn Bhd. manufactures and sells two cookware products in a single plant. The new manager wants to have quarterly budgets and has prepared the following information for the first quarter of 2021. The following information is available:

Budgeted sales:

Product A .......60,000 units @RM100 each

Product B .......40,000 units @RM125 each

Budgeted inventories:

image text in transcribedimage text in transcribed
Beginning Ending Product A 20,000 25,000 Product B 8,000 10,000 Direct material (Metal) 32,000 kg 36,000 kg Direct material (Plastic) 29,000 kg 32,000 kg Direct material (Handles) 6,000 units 7,000 unitsProduct A Product B Direct materials: Metal 5kg @RM8.00 RM40.00 4kg @RM8.00 RM32.00 Plastic 3kg@RM5.00 15.00 3kg@RM5.00 15.00 Handles 1 unit @RM3.00 3.00 Total materials 58.00 47.00 Direct labour 2hours@RM12.00 24.00 3hours@RM16.00 48.00 Variable manufacturing overhead 2hours@RM1.50 3.00 3hours@RM1.50 4.50 Total 85.00 99.50

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