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The cost of an article at capacity level of 5000 units is given under A below. For a variation of 20% in capacity above or
The cost of an article at capacity level of 5000 units is given under A below. For a variation of 20% in capacity above or below this level, the individual expenses vary as indicated under B below. B Material cost Labour Cost Power Repairs and maintenance Stores Inspection Depreciation Administration overheads Selling overheads Total Cost per unit A (Rs) 25000 15000 1250 2000 1000 500 10000 5000 3000 62750 12.55 100 varying 100 varying 80% varying 75% varying 100 % varying 20% varying 100% fixed 25% varying 50% varying Find the unit cost of the product under each individual expenses at production levels of 4000 units and 6000 units. 1 Add file
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