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XYZ Automobiles Ltd. has provided the following cost data for different levels of production: Particulars of Costs 500 units 1,000 units 1,500 units Direct Material
XYZ Automobiles Ltd. has provided the following cost data for different levels of production:
Particulars of Costs | 500 units | 1,000 units | 1,500 units |
Direct Material | ₹7,50,000 | ₹15,00,000 | ₹22,50,000 |
Direct Labour | ₹5,00,000 | ₹10,00,000 | ₹15,00,000 |
Total Factory Overheads | ₹10,00,000 | ₹20,00,000 | ₹30,00,000 |
You are required to calculate:
- The total cost at an activity level of 1,200 units.
- The cost per unit at this activity level.
- The selling price per unit if a profit margin of 30% on cost is desired.
- The variable cost per unit if the fixed overheads are ₹5,00,000 per month.
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