SECTION B - ANSWER TWO QUESTIONS ONLY (OUT OF THREE) QUESTION 2 (32 marks) Pastels Ltd produces three brush sets; the artists set. the painters set and the make-up set. The following data for each brush is available for the next quarter: Demand sets units 150 300 350 Arlis Painters Make up Sale Revenue par une Variable costa per unit 16 Allocated Fixed costs per unit 7 2 4 Profit per unit maa 2a) The assistant accountant has suggested that the Artist liebe closed. Do you agree? Give reasons for your opinion. fypo your answer her All brush sets use animal hair as follows: Artist Painters Makeup Hair per se igrammes) 12 20 26] The supplier for animal hair has gone bankrupt and supply be affected for the nature With reference to the above explain the concept of a limiting factor 2) The Inventory manager has told you that there is only 7400 grammes of animal hair in the warehouse. How much of each product marks should be made? type in this box? 24) What is the maximum profite that Pesta Lid could make pire you calculations in part 207 Cype in this box 2e) State the total maximum price that Pasteis would be prepared to pay a competitor for any animal hair inventory they have, in order to Fui demand for the quarter type in this box 21 Discuss two qualitative non financial factors the company should consider when sourcing animal hair from overseas suppliers type in this box type in this bar 2) The company intends to buy a machine to help speed up production Discuss how and why this could affect costs and profits SECTION B - ANSWER TWO QUESTIONS ONLY (OUT OF THREE) QUESTION 2 (32 marks) Pastels Ltd produces three brush sets; the artists set. the painters set and the make-up set. The following data for each brush is available for the next quarter: Demand sets units 150 300 350 Arlis Painters Make up Sale Revenue par une Variable costa per unit 16 Allocated Fixed costs per unit 7 2 4 Profit per unit maa 2a) The assistant accountant has suggested that the Artist liebe closed. Do you agree? Give reasons for your opinion. fypo your answer her All brush sets use animal hair as follows: Artist Painters Makeup Hair per se igrammes) 12 20 26] The supplier for animal hair has gone bankrupt and supply be affected for the nature With reference to the above explain the concept of a limiting factor 2) The Inventory manager has told you that there is only 7400 grammes of animal hair in the warehouse. How much of each product marks should be made? type in this box? 24) What is the maximum profite that Pesta Lid could make pire you calculations in part 207 Cype in this box 2e) State the total maximum price that Pasteis would be prepared to pay a competitor for any animal hair inventory they have, in order to Fui demand for the quarter type in this box 21 Discuss two qualitative non financial factors the company should consider when sourcing animal hair from overseas suppliers type in this box type in this bar 2) The company intends to buy a machine to help speed up production Discuss how and why this could affect costs and profits
