Jayanti Ltd. manufactures a product Alfa'. The present cost structure is * 40 per unit including 16fixed

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Jayanti Ltd. manufactures a product ‘Alfa'. The present cost structure is * 40 per unit including 16fixed cost with 30,000 units of manufacturing. Normal selling price is 60. Total capacity is 40,000
units but the market is very limited. Factory manager is interested to supply 4,000 units to another
factory. Quote the minimum possible price assuming that the contribution ratio to Marginal Cost
should be the same as is earned on usual sales.

Related Book For answer-question

Principles of Cost Accounting

ISBN: 978-1133187868

16th edition

Authors: Edward J. Vanderbeck

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Posted Date: Jan 25, 2021 07:20 PM

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Jayanti Ltd. manufactures a product Alfa'. The present cost structure is * 40 per unit including 16fixed

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Normal selling price Rs 60 Total capacity 40... View the full answer

Principles of Cost Accounting

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