I cam across this question and am struggling to see where the answers came from. Can anyone help explain the steps to getting the below answers?
Firstly the answers:
Assembly hours for maximum production: 143.75
Quality Control hours for Max production: 178.33
Packaging Hours for maximum production: 234.17
Sales price per unit:
Alpha: 2
Beta: 2.25
Gamma: 1.75
Direct Materials cost P.U:
Alpha: .5
Beta: .81
Gamma: .35
Direct Labour cost P.U:
Alpha: .3
Beta: .6
Gamma: .5
Machine time per unit:
(Assembly in minutes)
Alpha: 2
Beta: 3
Gamma: 2.5
(Quality control in minutes)
Alpha: 3
Beta: 4
Gamma: 2
(Packaging in minutes)
Alpha: 4
Beta: 5
Gamma: 3
Weekly Sales demand
Alpha: 1,000 Units
Beta: 1,500 Units
Gamma: 850 Units
Operating expenses, including labor are $4,000
The Maximum hours for the machine are:
150 hours (Assembly)
170 hours (Quality Control)
250 hours (Packaging)
Can you help explain the steps to resolving this as I need these answers to calculate the ratio later on?
Thanks in advance for your help,
Tom
ACCA Forums
PMThroughput accounting
this seems to b a question from the kaplan text book, i did it a few days back. Although a few areas did seem confusing at first but i figured it out eventually. you can ask me where you have doubts, i will try to help you out
Sign in to reply to this topic.