#title, Financial Accounting

Assignment Help:

A company produces 2 modules of mobile phones.
1.Basic modle is sold 5000/=, direct material cost 1250/=, requires 0.25h labour time. Produce unites 8000 per month.

2.smart model is sold 7500/=, direct material cost 1630, take 0.375h, Produce unites 4000 per month

3.labour rate per hour: Rs 6000/= and currently very scared.
fixed cost: Rs 24000000 per month.

4.an overseas customer has offered the company a contract worth Rs 35000000 for a number of mobile phones to be manufactured to its requirements.the estimating departmenthas ascertaained the following facts in respect of the work.
*labour time would be 1200hrs
*material cost would be Rs 9000000 plus the cost of particular components not normally used in the company''s models.
*these components could be purchased from a suplier for Rs 2500000 or alternatively they can be made internally for matirial cost of Rs 1000000 and additional time of 150hrs.

REQUIREMENT :
advice the management as to the action they should take.



Related Discussions:- #title

Corporate enterprise group, Q. Corporate Enterprise group? In order to ...

Q. Corporate Enterprise group? In order to have better and systematic participation of labour in management for improvement in working of Railway system and appropriate changes

Illustration of double entry-branches, Illustration of double entry The ba...

Illustration of double entry The balances on the current accounts of a head office and branch were Ksh 698,000, before the transactions listed below: Normal 0

Operating segments, Vincent Ltd operates solely in Western Australia and th...

Vincent Ltd operates solely in Western Australia and the chief operating decision maker has identified five operating segments: Mining, Insurance, Retailing, Manufacturing and Tran

Consignment, A of surat consigns goods to B of jaipur to be sold at or abov...

A of surat consigns goods to B of jaipur to be sold at or above price .Be is entitles to get a ommission of 8% on sales at invoice price plus 25% of any surplus price realized. B

Receiving order, RECEIVING ORDER It includes five main important points...

RECEIVING ORDER It includes five main important points as follows: Effect of receiving order: The consequences of the making of the receiving order are:The debtor retain

Compute the present value, Q. Compute the present value? The offer for...

Q. Compute the present value? The offer for the manufacturing rights is for a ten-year period. Annual after-tax cash flow after Year 4 = $660000 Present value of this c

Investment of funds to provide for legacies and interest, INVESTMENT OF FUN...

INVESTMENT OF FUNDS TO PROVIDE FOR LEGACIES AND INTEREST ON LEGACIES (a) Where a general legacy is given for life, the sum bequeathed shall, at or before the end of a year afte

Determine the internal rate of return for a project, What is the internal r...

What is the internal rate of return for a project that has a net investment of $76,000 and net cash flows of $20,507 per year for 7 years? What is the internal rate of return fo

Leases, Company A(lessee) will rent inventory for you for 3 years rather th...

Company A(lessee) will rent inventory for you for 3 years rather than buying it for the regular price of $240,000. Normally these units, which cost us $120,000 to produce, will las

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd