Question: please ans all parts Question 8 (20 Marks) Part A (10 Marks) The costs incurred by Treats Bakery Ltd as part of its operations are

Question 8 (20 Marks) Part A (10 Marks) The costs incurred by Treats Bakery Ltd as part of its operations are listed below Cost Items Amount Insurance on factory equipment 4700 Wheat Flour and other key baking materials 55.800 Depreciation of computers used in the sales department 1,500 Bakers wages 38.600 Utility cost of the sales department 1300 Rental for factory space 7,800 Depreciation on avens and other factory equipment 4800 Rental of space for the sales department 5.600 Seary of factory supervisor 17.000 Factory utility cost 5900 Required You are required to calculate the a) Prime cost (2 Marks) b) Conversion cost (2 Marks) Period cost Marks) Product cost Marks) Show all calculations Part B (10 Marks) Myfoodtz is a famous fresh ready-made meals business that operates in many suburbs in New South Wes. The selling price of a reacy-made me is 512. It is estimated that the company wit ncura variable cost of $288,000 to make and deliver 32.000 meals estimated production and sales). The companys estimated fied costs $45,000 Required You are required to calculate the following. Show all calculations Part B (10 Marks) Myfoodz is a famous fresh ready-made meals business that operates in many suburbs in New South Wees. The seling price of a ready-made meal is $12. it is estimated that the company will incur a variable cost of $285,000 to make and deliver 32,000 meals (estimated production and sales. The company's estimated fixed cost is 545,000 Required You are required to calculate the following. Show all calculations a) What Myfoods contribution margin ratio? (2 Marks) b) Calculate Myfoodzs break-even point in units meais) 2 Marks) Calculate Mytoodz's break-even point in sales dolors (1 Mark) o What is Myfoodzs margin of safety ratio? (Round of the answer to the nearest 2 decimal placeat (1 Mark) ft) How can managers of Myfood use this margin of safety ratio information to manage the profitability of the business? C2 Marks) How many meals must the company sell to earn a target profit of 90000 (2 Marks) Part A Part 8
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