MJK LTD is a manufacturing entity that produces and sells a single product called jumpa. 

Below are the details relating to one unit of Jumpa;

Direct Materials;

X- 4kgs at K25 / kg

Y- 5 litres at K20/ kg

Z- 8 kgs at K 15/ kg

Direct Labour :

Skilled - 3hours at K30/ hour

Unskilled- 3 hours at K 15 / hour

Variable overheads- 3hours at K10/ hour

Fixed production overheads - 3hours at K18. Hour

Disposal container at 120 % of Skilled labour cost

Mark up 20 %

Budgeted production and sales - 100000units

REQUIRED

The prime cost per unit of jumpa 

The production cost or Factory cost per unit of jumpa

The selling price per unit of jumpa 

Budgeted production cost or factory cost 

Budgeted Sales Revenue

Answer rating: 100% (QA)

To calculate the prime cost we add the direct materials cost direct labor cost and variable overhead ... View the full answer