Budgeted Sales = 5000 units
Expected opening inventory =100units
Required Closing Inventory= 1000units
FINISHED PRODUCTS
Raw material X: Kg/unit = 100 units
Direct labour hours/unit = 1000units
RAW MATERIAL INVENTORY
Opening inventory= 5000kg
Planned closing inventory= 6000kg
STANDARD RATES AND PRICES
Direct labour rate/hour=$7
Material X purchase price/kg=$2
My question is mainly on production budget, raw material usage budget and labour budget . My answers are different from those provided. Please help
Ask the Tutor ACCA MA
Budgeting
6y ago#1I cannot tell you where you went wrong without seeing what you have done :-)
(Also, you cannot have copied the question correctly, because what you have typed under 'finished products' does not make any sense.)
Have you watched my free lectures on budgeting? I work through a very similar example in the lectures.
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