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If it is not too much trouble, more detail calaculation.How did they get those numbers, because I am stuck with this question.Did watch lectures all the way. Thank you!
Thank you for help!Yes,I am using your notes,lectures and bpp revison kit for exam.
Sorry, I meant MCQ in BPP.
I have old BPP (up to June 2015, and here this is 3.7 question).
I did watch lectures, but this question makes confusion for me(how they calculate TFC).This is the whole question:
One of the products manufactured by a company is Prod.X, which sells for $40 per unit and has a mat.cost of $10 per unit and dir.lab cost of $7 per unit.The total dir.lab.budget for the year is 50.000 h of lab.time at cost of $12 per h.FO are $2.920.000 per year.
The comp. is considering the introduction of a system of TA.It has identified that mach.time as bottleneck in production.Product X needs 0.01 h of mach.time per unit produced. The max capacity for machine time is 4.000 h per year.TA ratio=?Calculation for TFC is=2.920.000+(50.000*12)
Info about lab cost per unit of $7 is not used anywhere in answer.
This I don’t understand why.Thank you in advance,
Thank you!
I must say that this was tricky question.
On my opinion, this part is only here so we could make mistake.
Bravo for ACCA.
🙁Thanks for advice.
I think I am going with F9 for March exams.
I have more chance to pass F8 than F5 (which was disaster) 🙁A manufacturing company has the following monthly budget
sales 480,000
dir.mat 140,000
dir.labour 110,000
VO 50,000
FO 130,000
profit 50,000Hope you will find it, thanks