A chemical manufacturing unit uses ingredient. A as the basis material. The cost of the material is

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A chemical manufacturing unit uses ingredient. A as the basis material. The cost of the material is Rs.20 per Kg and the Input-Output ratio is 120%. Due to a sudden shortage in the market, the material becomes non available and the unit is considering the use of one of the following substitutes available:

Material	Ratio	Rs. Per Kg
B	135%	26
C	115%	30

You are required to recommend which of the above substitutes is to be used. Also indicate additional cost required to be incurred.

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Management and Cost Accounting

ISBN: 978-1408093887

8th edition

Authors: Colin Drury

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Posted Date: Feb 15, 2023 11:38 PM

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A chemical manufacturing unit uses ingredient. A as the basis material. The cost of the material is

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Management and Cost Accounting

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