Question: Hello kindly help me solve the following a) Explain the advantages of using Value Added Statements (VAS) for interdivision for comparisons in decentralized firm. (8

Hello kindly help me solve the following

Hello kindly help me solve the following a)Hello kindly help me solve the following a)
a) Explain the advantages of using Value Added Statements (VAS) for interdivision for comparisons in decentralized firm. (8 marks) b) TOB Lt. Is a manufacturing company that makes only three products X, Y, and Z. Data for the period ended last month are as follows: X Y Z Units produced and 12,000 16,000 8,000 sold Sh. Sh. Sh. Sales price per unit 50 70 60 Direct material cost per 16 24 20 unit Direct labour cost per 8 12 8 unit Production overheads Total Cost drivers costs Sh. Machine hours Machining costs 102,000 Machine hours Production scheduling 84,000 Number of production runs Set-up costs 54,000 Quality control 49,200 Number of production runs Receiving materials 64,800 Number of components receipts Packing materials 36.000 Number of customer orders 390,000 Information on the cost drier is given as follows: X Y Z Direct labour hours per unit 1 1/2 Machine hours per unit 1/2 1 1/2Number of components per unit 5 Number of component receipts 18 80 90 200 Number of customer orders 20 a a Number of production runs 16 Required: Using activity based costing (TOB) show the cost and gross profit per unit for each product during the period. (12 marks) (Total: 20 marks)

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