Reference no: EM132581503

Problem 1: The BAA Company has established a budget of $50,000.00 for the production of 1000 units. Half of this amount is fixed. At an actual production level of 500 units

(a) Determine the variable cost per unit

(b) Determine the fixed cost per unit

(c) Determine total fixed cost

(d) Determine total variable cost

(e) Determine total costs

Problem 2: Some selected cost data for a batch of 2000 units of product C are given below

Direct materials + Direct labour $125,000.00

Factory Overheads

(All indirect, 40% variable) $37,500.00

Administration Expenses

(20% variable) $60,000.00

Selling & Distribution $60,000.00

($20,000 variable)

Compute the following

(a) prime Cost per unit

(b) total fixed Cost

(c) variable cost per unit