Question: If set up costs are driven by the number of production
If set-up costs are driven by the number of production runs, what is the set-up cost per unit traced to product A?
Answer to relevant QuestionsUse the following costs per unit to identify the prime cost, total production cost and total cost for a product: c) 36, 72 & 85 The payback period for each project is (in years): b) A = 2.5, B = 3, C = 2 The investment in a division of £400,000 returns a profit before interest of £25,000. However, Head Office charges a notional 5% cost of capital. The Return on Investment (%) and Residual income (£) are: b) 6.25% and ...The standard costs for a manufacturing business are £12 per unit for direct materials, £8 per unit for direct labour and £5 per unit for manufacturing overhead. The sales projection is for 5,000 units, 3,500 units need to ...What does the report tell the reader? What is its limitation? Construct a flexible budget and determine the variances. How does that provide more information to users?
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