Skip to content

Ask the Tutor ACCA PM

Bpp question life cycle costing

SSimran2y ago
69 The production director has suggested the following change for the costing of the new unit: Currently material costs are 20% of the variable production costs per unit. One of the materials used is stainless steel which is budgeted at $2,000 per unit but an alternative corrosion-resistant metal costing 25% less can be used. The production director believes a 15% discount can be negotiated for the remainder of the materials. What would be the revised material cost per unit (to the nearest whole $)?
IAW3005IAW3005Tutor2y ago#1
What is your question?
Sign into reply to this topic.