Mahindra Co. Ltd. is working at 50% capacity and produces 10,000 units. At 60% working, raw...

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Mahindra Co. Ltd. is working at 50% capacity and produces 10,000 units. At 60% working, raw material cost increases by 2% and selling price falls by 2%. At 80% working, raw material cost increases by 5% and selling price falls by 5%. At 50% capacity working, the product costs 180 per unit and is sold at 200 per unit. The unit cost of 180 is made up as follows: Material Wages 100 30 Factory overheads Administration overheads 30 (40% fixed) 20 (50% fixed) Prepare a Marginal Cost Statement showing the estimated profit of the business when it is operated at 60% and 80% capacity. (BBM Mahindra Co. Ltd. is working at 50% capacity and produces 10,000 units. At 60% working, raw material cost increases by 2% and selling price falls by 2%. At 80% working, raw material cost increases by 5% and selling price falls by 5%. At 50% capacity working, the product costs 180 per unit and is sold at 200 per unit. The unit cost of 180 is made up as follows: Material Wages 100 30 Factory overheads Administration overheads 30 (40% fixed) 20 (50% fixed) Prepare a Marginal Cost Statement showing the estimated profit of the business when it is operated at 60% and 80% capacity. (BBM