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GREETING SIR,
PLEASE COULD HELP TO VERIFY MY ANSWER BELOW IS THE WORKINGA company manufactures and sells a single product. Next year the budgeted total fixed production costs are $480,000, budgeted sales are 24,000 units and budgeted production is 25,000 units. The budgeted profit for next year using absorption costing principles is $57,500.
What is the budgeted profit for next year using marginal costing principles?$38,300
$37,500
$76,700
$77,500
480000/25000 =19.2
DIFFERENT IN STCOK IS 1000UNIT
19.2 @ 1000 = 19200ABS-CST-PROFIT $57,500 LESS $19200 =$38300
sir could you verify my answer.
A company uses standard marginal costing. Last month when all sales were at the standard price, the standard contribution from actual sales was $50,000 and the following variances arose:
$
Total variable costs variance 3,500 Adv
Total fixed costs variance 1,000 Fav
Sales volume contribution variance 2,000 FavWhat was the actual contribution for last month?
working of mine $50,000.00-3,500+1,000= my answer is $47,500.00
Your answer is correct 🙂
(Are there not answers in the same book in which you found the question? If not then you really should be using a Revision Kit from one of the ACCA approved publishers because they have answers as well as questions. There is no point in attempting questions for which you do not have answers 🙂 )
sir am confuse i could not work this due to the statement the first amount will be received in 4 years now.
please please please for god sake help
Z Co is evaluating a project which will generate cash flows of $2,600 each year in years four to eight. (The first amount will be received in four years from now.)
What is the present value of the project cash flows using a discount rate of 14%?If your book does not have answers then you are wasting your time using it – you should use a Revision Kit from one of the ACCA approved publishers.
With regard to your question about 4 years – you must start a new thread when you are asking about a different topic.
However I am not going to answer it because I work through an almost identical example in my free lectures on investment appraisal and you cannot expect me to type out all my lectures here.
You must watch the free lectures – they are a complete course for Paper F2 and cover everything needed to be able to pass the exam well.
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