- December 19, 2020 at 10:00 am #600299JanaVojtiskovaMember
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selling price 45
direct material 11
direct labour 8
Fixed overhead cost per unit are based on normal annual activity of 96 000 units. These are expected to be incurred at a constant rate throughout the year.
January in units February in units
Sales 7000 8750
Production 8500 7750
No stocks held on 1. 1. 2018
a) Absorption and marginal costing for both months?
b) Based upon Marginal costing calculate:
annual break even sales value ?
activity level in units which will yield in annual profit of 122 800 euro?December 19, 2020 at 12:11 pm #600307Kim SmithKeymaster
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See Chapter 8 of our PM notes which can be downloaded from this page https://opentuition.com/acca/pm – you will also find the relevant lectures here https://opentuition.com/acca/pm/acca-performance-management-pm-lectures
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