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abdulvarisvk234

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Active 1 year ago
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  • September 27, 2023 at 6:47 am #692560
    mysteryabdulvarisvk234
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    Total fixed cost is 18000.
    cuz,
    12=variable cost + 20% variable cost.
    12=1.2vc
    so, vc here is 12/1.2=10.
    selling price – total cost = profit.
    here profit is -8000.
    so, total cost is (5000*12)- total cost = -8000.
    68000 is total cost.
    68000/5000=13.6.
    in this we know that 10 is variable cost and the rest of 3.6 is fixed cost per unit.
    muliply it with total unit 5000 will give u an answer of 18000.

    September 27, 2023 at 6:11 am #692559
    mysteryabdulvarisvk234
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    Total fixed production cost=13122+7920+2988=24030
    120 units takes 1 hour, so we are having 216000.
    so, it takes 1800 hours, cuz, 216000/120.
    so now u have got hours and total production overhead.
    24030/1800=13.35$/machine hour is the OAR per machine hour here.

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