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solve it in Microsoft word or let others solve it. I'll dislike it if done on a paper. Additional information: Harry Wilson operates a small
solve it in Microsoft word or let others solve it. I'll dislike it if done on a paper.
Additional information: Harry Wilson operates a small workshop that sells customized make-up products to its customers such as lipsticks, compact powders, blushes and etc. On June 2020, Harry received an order to produces 500 units of organic lipstick. The following information are extracted from Harry's accounts for 1 unit of lipstick. Direct material: - Beeswax RM 2.50 per kg - Mineral oil RM 2.20 per kg - Fragrance and pigment RM 1.80 per kg Direct labour: - Melting and mixing RM 30 per hour - Molding RM 25 per hour - Labeling and packaging RM 22 per hour Manufacturing overhead - Melting and mixing RM 1.50 per direct labour hour - Molding RM 2.10 per direct labour hour - Labeling and packaging RM 1.20 per direct material (fragrance and pigment) 1. Harry used 80 kg of beeswax, 18 kg of mineral oil and 22 kg of fragrance and pigment to produce 500 units of organic lipstick, which in turned required 52 hours for melting and mixing, 40 hours for molding and 28 hours for labeling and packaging purposes. 2. In order to fulfil the order, Harry needed to incur direct expenses amounted to 15% of direct labour cost for melting and mixing. 3. The administrative overhead is 20% of profit, while distribution overheads is 35% of selling price. 4. The profit for this order was 40% of selling price. Based on the description given above, CALCULATE total cost, profit and selling price of one unit of lipstick produced by Harry. (Round off your answer to the nearest RM)Step by Step Solution
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