Question
TUV Apparel Ltd. produces two types of clothing: Jackets and Sweaters. Below is the cost and output data: Particulars Jackets Sweaters Direct Material 6,00,000 4,00,000
TUV Apparel Ltd. produces two types of clothing: Jackets and Sweaters. Below is the cost and output data:
Particulars | Jackets | Sweaters |
Direct Material | ₹6,00,000 | ₹4,00,000 |
Direct Labour | ₹3,00,000 | ₹2,00,000 |
Factory Overheads | ₹2,00,000 | ₹1,00,000 |
Units Produced | 6,000 | 4,000 |
You are required to calculate:
- The cost per unit for each type of clothing.
- The selling price per unit if a profit of 25% on cost is desired.
- The total revenue generated from the sale of both types of clothing.
- The percentage contribution of each type of clothing to the total revenue.
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Managerial Accounting for Managers
Authors: Eric Noreen, Peter Brewer, Ray Garrison
4th edition
1259578542, 978-1259578540
