Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The monthly demand for this product varies from one month to the other. During the month of of October 2019, 1000 units were produced incurring

The monthly demand for this product varies from one month to the other. During the month of of October 2019, 1000 units were produced incurring the following expenses: Shs 000 Direct materials 60 Direct labour 80 Rent(Fixed) 50 Electricity (40% fixed) 54 Property taxes and rates (80% variable) 100 Technical support(Fixed) 56 400 i) Using accounts analysis formulate the total cost function (4 marks) ii) During the month of November, Basrif ltd estimates to produce 1620 units. Calculate the estimated cost in December 2019. (2 marks) iii) Discuss TWO weaknesses of the method youve used in part (i) and (ii) above (2 marks)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting For Managers And Entrepreneurs

Authors: Charles T. Horngren

8th Edition

1269778684, 9781269778688

More Books

Students also viewed these Accounting questions

Question

14.5 Describe how accidents at work can be prevented.

Answered: 1 week ago