How to find the fixed cost sir?
Ask the Tutor ACCA PM
MOCK EXAM 2 pg 325 num 3
5y ago#1Multiply the budgeted production by the fixed overhead per unit for each product, and add the two together.
If only P1 is made then the specific fixed costs for P2 will not occur, but the rest of the fixed costs will.
Why if p1 is made the specific FC for p2 will not occur??
5y ago#3Because they will then not be making P2 and if they are not making P2 the specific fixed costs for P2 will not be incurred.
Sign into reply to this topic.