$22$:$35$

LTE $69$

$$ BacBACEBO$2$MANAGEMENThg

Question $4$

Gosben Lad makes two products, Kuntu and Kanto. The following data are relevart for the year ending $31"$ December $2021$:

a$.$ Material prices: Material A GHe$5$ per unit; Material B GHe$4$ per unit

b$.$ Direct labour is paid GHe $9\mathrm{.}50$ per hour.

c$.$ Production overhicad cost is estimated to be Glie $150,000.$ Selling and administration overhead is budgeted to be GHe $80,000.$

d$.$ Each unit of finished product requires:

Kuntu

$11$ units

$9$ units

$8$ hours

Kaste

$12$ units

$5$ units

$9$ hours

Material A

Material B

Direct labour

e$.$ The sales director has forecast sules of Kuntu and Kanto will be $6,500$ and $4,000$ units respectively during the year $2021.$

f$.$ The selling prices will be as follows: Kuntu $-$ GHe$250$ per unit; Kanto; GHic$320$ per unit

g$.$ It is estimated that there will be opening inventory of $800$ units of $K$ untu and $500$ units of Kanto.

h$.$ At the end of the year $2021,$ the company intends bolding imventory of $750$ units and $900$ units of Kuntu and Kanto respectively.

i$.$ The Production Director estimates that the opering inventories of raw materials will be $3,200$ units of material A and $4,500$ units of material B$.$

j$.$ At the end of the year $2021,$ the inventories of these raw materials are to be: Material A $4,500$ units; Material B $2,500$ units.

k$.$ Statement of financial position extracts for year ended $31"$ December $2020$ are as follows:

$\backslash$table$[[,$GHe$],[$Inventory of Raw materials,$30,000],[$Inventory of Finisisod goods,$45,000],[$Bank bulance,$33,000],[$Stated capital,$500,000],[$Income Surplus,$430,000],[$Nan$-$ Current Assets,$650,000]]$

for

$4$

The Finance Director advises that the rate of tax to be paid oa profits during the year $2021$ is ikely $10$ be $30\%.$

m$.$ It is estimated that the value of Closing inventory at the end of the period will be GHe$123,000$ for raw materials and $86,000$ for finished goods.

n$.80\%$ of sales are for cash and suppliers grant $10\%$ credit for materials purchased, all other expenses are for cash except tax which will be unpaid by the end of the year.

a$.$ The company expects to receive investment income of GH$22$:$35$

LTE $69$

$$ BacBACEBO$2$MANAGEMENThg

Question $4$

Gosben Lad makes two products, Kuntu and Kanto. The following data are relevart for the year ending $31"$ December $2021$:

a$.$ Material prices: Material A GHe$5$ per unit; Material B GHe$4$ per unit

b$.$ Direct labour is paid GHe $9\mathrm{.}50$ per hour.

c$.$ Production overhicad cost is estimated to be Glie $150,000.$ Selling and administration overhead is budgeted to be GHe $80,000.$

d$.$ Each unit of finished product requires:

Kuntu

$11$ units

$9$ units

$8$ hours

Kaste

$12$ units

$5$ units

$9$ hours

Material A

Material B

Direct labour

e$.$ The sales director has forecast sules of Kuntu and Kanto will be $6,500$ and $4,000$ units respectively during the year $2021.$

f$.$ The selling prices will be as follows: Kuntu $-$ GHe$250$ per unit; Kanto; GHic$320$ per unit

g$.$ It is estimated that there will be opening inventory of $800$ units of $K$ untu and $500$ units of Kanto.

h$.$ At the end of the year $2021,$ the company intends bolding imventory of $750$ units and $900$ units of Kuntu and Kanto respectively.

i$.$ The Production Director estimates that the opering inventories of raw materials will be $3,200$ units of material A and $4,500$ units of material B$.$

j$.$ At the end of the year $2021,$ the inventories of these raw materials are to be: Material A $4,500$ units; Material B $2,500$ units.

k$.$ Statement of financial position extracts for year ended $31"$ December $2020$ are as follows:

$\backslash$table$[[,$GHe$],[$Inventory of Raw materials,$30,000],[$Inventory of Finisisod goods,$45,000],[$Bank bulance,$33,000],[$Stated capital,$500,000],[$Income Surplus,$430,000],[$Nan$-$ Current Assets,$650,000]]$

for

$4$

The Finance Director advises that the rate of tax to be paid oa profits during the year $2021$ is ikely $10$ be $30\%.$

m$.$ It is estimated that the value of Closing inventory at the end of the period will be GHe$123,000$ for raw materials and $86,000$ for finished goods.

n$.80\%$ of sales are for cash and suppliers grant $10\%$ credit for materials purchased, all other expenses are for cash except tax which will be unpaid by the end of the year.

a$.$ The company expects to receive investment income of GH