The Institute of Cost and Management Accountants of Bangladesh Questions of Assignment Operational Level: Paper P1 Performance Operations Question No 01 Saturn, a chocolate manufacturer, produces three products: 0 The Sky Bar, a bar of solid milk chocolate. I The Moon Egg, a fondant lled milk chocolate egg. 0 The Sun Bar, a biscuit and nougat based chocolate bar. Information relating to each of the products is as follows: Direct labour cost per unit (35) Direct material cost per unit (35) Actual production! sales (units) Direct labour hours per unit Direct machine hours per unit Selling price per unit (55) Annual production overhead = $80,000 Required: Sky Bar 0.07 0. 17 500,000 0.001 0.01 0.50 Moon Egg 0. 14 0.19 150,000 0.01 0.04 0.45 Sun Bar 0.12 0. l 6 250,000 0.005 0.02 0.43 Using traditional absorption costing, calculate the full production cost per unit and the prot per unit for each product. Explain the implications of the gures calculated