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. Weston- Ultimate comfort is a chair manufacturer. On 1 March 2020 Ultimate Comfort began work on a batch of 100 chairs using a new
. Weston- Ultimate comfort is a chair manufacturer. On 1 March 2020 Ultimate Comfort began work on a batch of 100 chairs using a new chair design The following details were obtained for the batch from Manufacturing source documents Raw Material Requisitions Date Reference Quantity Unit Costa 1/03- RM101 10/03- RM102 15/03- RM103 150 - s/houree Time Sheets Date 1/03 5/03 10/03 12/03 15/03 Hours 25- 124 %75 45 4042 301 25 Manufacturing overheads are applied to jobs at a predetermined rate based on direct labour hours. Total estimated overheads for the factory for the year are $285,000. Total estimated direct labour hours for the factory for the year are 9,500 hour. The batch of 100 chairs were completed on 20 March and 50 were sold on 25 march at a 100% mark-up on cost. Further costs incurred during the month were: office rent $370- Administrative salaries $822 Advertising $110 office Electricity 5210 You are required to a. Calculate the cost of manufacturing a batch of chairs using the new chair design. Show your working b. Calculate the Gross Profit made by Ultimate Comfort in March assuming only sales of the New Chair design made were. C Calculate Ultimate Comfort's Net Profit for the same period
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