Ellipso Ltd plans to manufacture three products: Eff, Zet and Plus, made from the same raw...

 

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Ellipso Ltd plans to manufacture three products: Eff, Zet and Plus, made from the same raw material. The following costs and revenue per unit are anticipated: Eff a) b) c) d) Selling price Direct material cost Direct labour cost e) Direct materials costs $30 per kilogram. Direct labour costs $10 per hour. Direct materials available per month total 500 kg. A maximum of 1 000 units per product can be produced and sold per month. The monthly rental of the premises is $6 000 and annual rates are $21 600. $ 43 15 10 In production, what is the meaning of key factor? What is the meaning of contribution? Calculate the unit contribution for: i) ii) iii) Eff, Zet, Plus. Calculate the contribution per unit of direct materials for i) ii) iii) Zet $ 50 10 25 Plus $ 36 6 20 Eff, Zet, Plus. Calculate the number of units for each product, to be manufactured in order to yield the highest profit. Ellipso Ltd plans to manufacture three products: Eff, Zet and Plus, made from the same raw material. The following costs and revenue per unit are anticipated: Eff a) b) c) d) Selling price Direct material cost Direct labour cost e) Direct materials costs $30 per kilogram. Direct labour costs $10 per hour. Direct materials available per month total 500 kg. A maximum of 1 000 units per product can be produced and sold per month. The monthly rental of the premises is $6 000 and annual rates are $21 600. $ 43 15 10 In production, what is the meaning of key factor? What is the meaning of contribution? Calculate the unit contribution for: i) ii) iii) Eff, Zet, Plus. Calculate the contribution per unit of direct materials for i) ii) iii) Zet $ 50 10 25 Plus $ 36 6 20 Eff, Zet, Plus. Calculate the number of units for each product, to be manufactured in order to yield the highest profit.

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a A key factor is a significant element that contributes to the success or failure of ... View the full answer