Pad limited produces tablets and sell to retailers. The company has prepared a budget for the next quarter for one of its products: 'Smart'. This budget is based on producing and selling 1,000 units. One of the retailers has indicated that it may be significantly increasing its order level for 'Smart' for the next quarter and it appears that activity levels of 1,500 units and 1,800 units are feasible. 

You are required to complete the table below and calculate the budgeted total profit of 'Smart' at the different activity levels. 

Unites produced and sold 1,000 1,500 1,800    

Revenue 45,000 

Less: costs Direct materials 10,000 

Direct labour 12,000 

Variable overheads 10,000 

Fixed overheads 2,000 (34,000) 

Total profit 11,000

Answer rating: 100% (QA)

Lets calculate the missing values For 1500 units Revenue 1500 units 45 6750... View the full answer