Professional Documents
Culture Documents
Amount
RM
188,000.00
832,000.00
1,020,000.00
200,000.00
820,000.00
238,400.00
32,000.00
Direct wages
Direct expenses-freight inwards
Prime Cost
Add: Production overheads
- Indirect wages
- Repair to plant & machinery
- Factory rent, rate & taxes
- P & M - Depriciation write off
- Electricity charges
- Fuel
- Managers salary
Amount
RM
1,090,400.00
16,000.00
42,400.00
12,000.00
28,400.00
48,000.00
64,000.00
9,600.00
220,400.00
40,000.00
18,800.00
6,400.00
2,400.00
24,000.00
24,800.00
38,400.00
154,800.00
14,000.00
33,600.00
47,600.00
20,000.00
12,400.00
32,400.00
1,545,600.00
b (i)
b (ii)
85.00
Working
* Profit -------->
1,545,600.00
463,680.00
2,009,280.00
25,000 units
80.37
1,545,600.00
25,000 units
61.82
15.46
77.28
80.00
RM61.82 + 0.2x = x
RM61.82 = x-02x
RM61.82 = 0.8x
x = 61.82 / 0.8
x = RM77.28
Question 2
2 a) Break even units
Formula
Total fixed cost
Contribution/unit
Bee
= RM25,000
RM15-RM10
Zee
= RM72,000
RM35-RM19
= 5,000 units
= 4,500 units
Bee
= RM25,000 x RM15
RM5
Zee
= RM72,000 x RM35
RM16
= RM75,000
=RM157,500
Zee
= 6,000 units- 4,500 units
= 1,500 units
d) Profit (RM)
Formula
SP - TOC - TFC
Bee
=(8200xRM15) - [(8200xRM10)+RM25000]
=RM123,000- (RM82,000+RM25,000)
=MR123,000 - RM107,000
=RM16,000
Zee
=(6000xRM35) - [6000xRM19)+RM72000
=RM210,000 -(RM114,000+RM72000)
=RM210,000 - RM186,000
=RM24,000
ii) Bee
Output
Unit
0.00
2,500.00
5,000.00
7,500.00
10,000.00
12,500.00
TFC
25,000.00
25,000.00
25,000.00
25,000.00
25,000.00
25,000.00
TVC
o/p x RM10
0.00
25,000.00
50,000.00
75,000.00
100,000.00
125,000.00
T.Cost=
T.Revenue = Profit or Loss
TFC + TVC o/p x RM15
25,000.00
0.00
(25,000.00)
50,000.00
37,500.00
(12,500.00)
75,000.00
75,000.00
0.00 -------> BEP
100,000.00
112,500.00
12,500.00
125,000.00
150,000.00
25,000.00
150,000.00
187,500.00
37,500.00
TVC
o/p x RM10
0.00
28,500.00
57,000.00
85,500.00
114,000.00
142,500.00
171,000.00
T.Cost=
T.Revenue = Profit or Loss
TFC + TVC o/p x RM15
72,000.00
0.00
(72,000.00)
100,500.00
52,500.00
(48,000.00)
129,000.00
105,000.00
(24,000.00)
157,500.00
157,500.00
0.00 -------> BEP
186,000.00
210,000.00
24,000.00
214,500.00
262,500.00
48,000.00
246,000.00
315,000.00
72,000.00
Zee
Output
Unit
0.00
1,500.00
3,000.00
4,500.00
6,000.00
7,500.00
9,000.00
TFC
72,000.00
72,000.00
72,000.00
72,000.00
72,000.00
72,000.00
72,000.00
Question 3
a)
b)
Fixed cost
Selling price/unit
Variable cost/Unit
Sales Q
RM30000
RM5
RM3
20,000 units
RM30,000 =
RM5-RM3
15,000 units
RM30,000 =
RM2/RM5
RM75,000
Profit(RM) =
RM20,000 =
X
=
SP-TOC-TFC
(X *RM5) -[(X *RM3) + RM30,000]
25,000 units
or
20,000 + 30,000
2
Question 4
Product X
Sales Revenue
Less: Marginal Cost
Direct Material
Direct Wages
Variable o/h
100 units
150 units
2050
1050
300
300
Contribution
TFC
Profit / Loss
Contribution per unit
200 units
3075
1575
450
450
4100
2100
600
600
1650
400
800
(400.00)
2475
600
800
(200.00)
3300
800
800
0
RM400/100
RM4/=
RM600/150
RM4/=
RM800/200
RM4/=
* Should produce more than 200 units of Product X in order to gain profit
Product Y
Sales Revenue
Less: Marginal Cost
Direct Material
Direct Wages
Variable o/h
Contribution
TFC
Profit / Loss
200 units
150 units
2900
1700
400
400
100 units
2175
1275
300
300
1450
850
200
200
2500
400
800
(400.00)
1875
300
300
(500.00)
1250
200
800
(600.00)
RM300/150
RM2/=
RM200/100
RM2/=
* Should produce more than 400 units of product Y in order gain profilt
Contribution per unit
RM400/200
RM2/=
Question 5
Workings
RM224,000 RM280 = 800 unit
800
x 75%
60%
Manufacturing o/h per unit =
40,000 = 40
1,000
20,000 = 20
1,000
Sales
RM280
RM65
RM30
RM40
RM20
RM125
BEP (RM) =
101,000
0.45
c/s ratio =
=
= RM224,444
b)
75%
1,000
60%
800
Total sales(RM280)
280,000
224,000
65,000.00
30,000.00
40,000.00
20,000.00
52,000.00
24,000.00
32,000.00
16,000.00
Sales unit
80,000.00 80,000.00
21,000.00 21,000.00
24,000.00 (1,000.00)
125
280
0.45
c i) Sales unit
Total sales (RM260 x 1,100)
1,100
(RM)
286,000
71500.00
33000.00
44000.00
22000.00
ii)
iii)
80000.00
21000.00
14500.00
Question 6
a)
Production budget
------> Closing Stock + Sales - Opening Stock
Production Budget
Closing Stock
Add: Sales
Less: Opening Stock
Product X
unit
Product Y
unit
1,000
12,000
13,000
800
12,200
1,500
15,000
16,500
1,000
15,500
b)
X
Y
Production
Quantity
12,200
15,500
17,700
Material 1
kg/unit
5.0
1.5
kg
61000
23250
Material 2
kg/unit
0.5
2.0
kg
6,100
31,000
4,000
88,250
6,400
43,500
3,250
3,500
85,000
40,000
RM5/kg
RM3/kg
Cost
425,000
120,000
= RM425,000 + RM120,000
= RM545,000
c)
Production
Quantity
X
Y
12,200
15,500
17,700
qty
5.0
3
61,000
46,500
107,500
3
4
qty
36,600
62,000
98,600
RM2.50
RM1.75
Rate/Labour hour
RM268,750
RM172,550
= RM268,750 + RM172,550
= RM441,300
Prod. Qty
Price
RM4.00
12,200
RM48,400
RM3.50
15,500
RM54,250
RM103,050
e)
Material 2
labour
d)
Material 1
labour
RM103,050
Sales Budget
Product
Sales Quantity
Selling price/unit
12,000
RM70.50
RM846,000
15,000
RM45.00
RM675,000
RM1,521,000
f)
Product X
Product Y
323,300
216,550
539,850
209,250
224,750
434,000
48,800
588,650
12,200 units
54,250
488,250
15,500 units
48.25
9.65
31.5
6.3
Total cost/unit
Add: Profit 15 x total cost
100
57.9
8.68
37.8
5.67
66.58
43.47
Nearest RM5.00
66.58
43.47
RM70.50 - RM57.90
RM12.60
RM45.00 - RM37.80
RM7.20
Budgeted production
g)
Bu profit/unit
Sales qty
Total profit
RM12.60
12,000
RM151,200
RM7.20
15,000
RM108,000
RM259,200
Question 7
1) Sales budget
Production Budget
Particular
Tosh
unit
Bosh
unit
Production
Less: Closing stock
6,000
600
4,250
650
800
600
Sales unit
6,200
4,200
Selling price/unit
RM36
RM32
Sales total
RM223,200 RM134,400
Assembly
Tosh
45 x 100%
60
Bosh
24 x 100%
60
75%
= 40%
0.75
= 0.40
30 x 100%
60
18 x 100%
60
50%
= 30%
0.50
= 0.30
Machining Usage
Particular
Total production
Tosh
6,000
Bosh
4250
Total
Machine hour
0.75
0.4
Total usage
4,500
1,700
6,200
Particular
Total production
Tosh
6,000
Bosh
4250
Total
Assembly hour
0.5
0.3
3,000
1,275
Assembly Usage
Total usage
4,275
Bosh
Assembly
Remaining time =
Production Budget
Particular
Closing stock
Add: Sales
Less: Opening stock
Tosh
Bosh
600
6,200
6,800
800
6,000
650
4,200
4,850
600
4,250
Product
Quantity
Tosh
Bosh
6,000
4,250
10,250
Bish
3.00
2.50
18,000
10,625
28,625
Mish
1.80
3.00
10,800
12,750
23,550
Tish
2.50
1.80
15,000
7,650
22,650
10,000
6,450
5,000
(8625)
(7000)
(2650)
30,000
23,000
25,000
Cost/kg
RM1.50
RM2.75
RM3.00
45,000
63,250
75,000
* Total material purchase cost for March 2008 = RM45,000+ RM63,250 + RM75,000
R
= M183,250
5) Labour Cost Budget
Particular
Production
Time req 5 hours
Lsbour cost RM1.80
Tosh
Bosh
6,000
30,000 4 hours
54,000 RM1.80
4,250
17,000
30,600
Tosh
4,500
RM3.75
Bosh
1,700
RM3.75
RM16,875
RM6,375
Bish
working
Opening stock
Closing stock
total
1.50 x 8625
Mish
working
total
Tish
working
total
1.50 x 10,000 15,000.00 2.75 x 6450 23,550.00 3.00 x 5000 22,650.00 47,737.50
Total
RM
Tosh
Bosh
Total
per unit
hour
RM
hour
RM
RM1.80
RM3.75
5 hour
0.75
16.95
9.00
2.81
28.76
4 hour
0.40
17.40
7.20
1.50
26.10
Opening stock
Closing stock
28.76 x 800
28.76 x 600
Total (RM)
Direct labour
(Quest 5)
84,600.00
Direct Material
(Quest 4)
183,250.00
(Quest 8)
38,668.00
(Quest 8)
-34,221.00
23,250.00
295,547.00