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The management accountant at Fly Co has also been looking at the cost structure and budget for one of the companies most popular products, a
The management accountant at Fly Co has also been looking at the cost structure and budget for one of the companies most popular products, a miniature drone, and has identified the following:
Output of drones Total manufacturing cost
Quarter 1 400 126,000
Quarter 2 430 128,140
Quarter 3 390 125,740
Quarter 4 380 124,050
a)Calculate the variable cost per drone, and the total budgeted cost if annual production is 1500 drones. (5 marks)
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