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Kaplan Rev KIT

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA MA – FIA FMA › Kaplan Rev KIT

  • This topic has 7 replies, 2 voices, and was last updated 10 years ago by John Moffat.
Viewing 8 posts - 1 through 8 (of 8 total)
  • Author
    Posts
  • October 6, 2015 at 5:10 am #275113
    anu1234
    Member
    • Topics: 78
    • Replies: 65
    • ☆☆

    Q 168 :

    How did they find normal loss ?
    why is it 10/110

    October 6, 2015 at 6:13 am #275121
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54833
    • ☆☆☆☆☆

    I do not have a Kaplan revision kit – sorry.

    October 6, 2015 at 6:18 am #275123
    anu1234
    Member
    • Topics: 78
    • Replies: 65
    • ☆☆

    ABC manufactures product X in a single process. Normal loss in the process is 10% of output and scrappedu nits is sold for $4/unit.
    There was no open or clos inventory. Process costs of DM , DL , Pro OH = 184800
    Input in the month was 13200 inits
    What was the cost/unit produced

    October 6, 2015 at 9:50 am #275138
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54833
    • ☆☆☆☆☆

    For every 100 output the loss is 10.

    So if they lose 10 and still output 100, then they must have input 110.

    October 6, 2015 at 10:15 am #275140
    anu1234
    Member
    • Topics: 78
    • Replies: 65
    • ☆☆

    If they lose 10 , output is still 100 ? how ?

    October 6, 2015 at 10:19 am #275146
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54833
    • ☆☆☆☆☆

    Because they must have input 110 !!

    October 6, 2015 at 10:26 am #275148
    anu1234
    Member
    • Topics: 78
    • Replies: 65
    • ☆☆

    is there any other explanation you can give for my better understanding as to how to arrive at normal loss of 1200

    October 6, 2015 at 10:53 am #275153
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54833
    • ☆☆☆☆☆

    For every 110 that they input, they lose 10 and output 100. So the loss is 10% of the output.

    So if they input 13,200 then they will lose 10 for every 110, which is 10/110 x 13,200.

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