[pradee001]

GOd same here, couldnt answer the rolling budget question, and @ ashee007, I was on the same boat as you, Building block model…didn’t type a lot!

[pradee001]

Oh yes, got it now,,,really appreciate it, many thanks! I will watch the lectures once again..:)

[pradee001]

Hi Sir,

I did compare these 2 kilos, 25000 & 25200 so:

A =14000*1.10= £15400
B= 5500*2.40 £13200
C= 5500*1.50 £8250
Total= £36850

Should have used 25200kg

A= 25200/1.2*0.6= 12600 *1.10 £13860
B= 25200/1.2*0.24= 5040*2.40 £12096
C= 25200/1.2*0.36=7560*1.50 £11340
Total £37296

so the difference is = £37696-36850=£446 F …i’m really confused sir, plus thanks a lot for the fast prompt reply 🙂

[pradee001]

Thank you so much Sir!
Yes have watched the lectures , now all I need is a scientific calculator!

[pradee001]

Hiya John,

Many thanks for the explanation/answer, of course there is answer in the book but I did not understand a thing from that answer book! or may be the way it is explained,I was comparing transfer pricing £165 and £140.

Yes I did watch your lectures and I guess it is all about practicing more questions & familiarizing your self with the wording!

And apologies for posting on both forums.

Thanks!

[pradee001]

Hi ,

Many thanks for the reply, first of all I do not understand why we have to take 4×5 = £20 into account when we can use the existing product M ?

I assumed:
cost of using existing inventory M, 5 x £0.75= £3.75 , but if it was to be sold We would have made £1 x 5= £5 so the difference is the relevant costing ?

apologies, don’t really get it.

[Author]

Posts