[saquibsher]

Thanx Mr. Mike…. Now i understood the logic …..

yes i wrote down wrong, mistakenly ..the correct answer is 70,000

stay blessed.

[saquibsher]

Thanks alot…

[saquibsher]

i was very confident that i will attempt variances Question in paper very well but seeing these MCQs, it seem to be tough to cross even average….

[saquibsher]

also solve these please

Leaf Limited has had a mixed year. Its market share has improved two percentage points to 20% but the overall market had contracted by 5% in the same period. The budgeted sales were 504,000 units and standard contribution was $12 per unit.
The sales market size variance is:

A $1,680,000 Fav
B $1,680,000 Adv
C $302,400 Adv
D $302,400 Fav

———————————————————————————————————————-
Leaf Limited has had a mixed year. Its market share has improved two percentage points to 20% but the overall market had contracted by 5% in the same period. The budgeted sales were 504,000 units and standard contribution was $12 per unit.
The sales market share variance is:

A $638,400 Adv
B $638,400 Fav
C $336,000 Adv
D $336,000 Fav

[saquibsher]

The predicted selling price for a product has been set at $56 per unit. The desired mark-up on cost is 25% and the material cost for the product is estimated to be $16 before allowing for additional materials to allow for shrinkage of 20% (for every 10 kg of material going in, only 8 kg comes out). Labour is the only other cost and 2 hours are needed.
What is the most the business can pay per labour hour, if a cost gap is to be avoided?

A $12.40
B $14.40
C $24.80
D Cannot be determined without any more information

[saquibsher]

again 48%…dont know what to do ?

[saquibsher]

thanx for you reply… which book will be best to read KAPLAN or BPP ?

[saquibsher]

oohhh… there was really a very tricky question of relevant costing, if he asked the question same like that i will be not among those to attempt even 20%….

[saquibsher]

Thanks a lot for your response, i didn’t leave any MCQ un attempted even a guess but i ticked it must,
while for part B i tried my level best to write something related if its not clear to me in exam,
i also practiced exam kit,
i also showed working for every calculation where as possible,
beside all these points you have mentioned i didn’t cross the 50% limit.
more over i will watch your video lectures and ia m hopefull that this time i will pass in shaa ALLAH.

[saquibsher]

ARR is added to the initial investments because it is an opportunity cost

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