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use the information provided below to calculate the expected production cost for March 2021. INFORMATION Lyn Limited manufactures Product X. An estimate of the number

use the information provided below to calculate the expected production cost for March 2021.

INFORMATION Lyn Limited manufactures Product X. An estimate of the number of units to be sold during March and April 2021 is given below:

March 1 500
April 1 900

It is anticipated that:

1. There will be no work-in-process at the end of any month.

2 Finished units equal to 40% of the expected sales of the following month will be in inventory at the end of each month.

The budgeted production and production costs for the year ending 31 December 2021 are as follows:

Production 18 000 units
Direct materials cost per unit R 25
Direct labour cost per unit R 15
Other manufacturing costs R 54 000

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