WAMI Ltd wished to calculate an operating budget for the forthcoming period. Information regarding products, costs and
Question:
WAMI Ltd wished to calculate an operating budget for the forthcoming period. Information regarding products, costs and sales levels is as follows. Closing stock of materials and finished goods will be sufficient to meet 10% of demand.The opening stock of material X was 300 kg and for material, Y was 1000 litres. Material prices are Tshs 10,000 per kg for material X and Tshs 7,000 per litre for material Y.Labour costs are Tshs 12,000 per hour for the skilled workers and Tshs 8,000 per hour for semi-skilled workers.
Required:: Produce the following budgets:
i.
Production
ii.
Material usage
iii.
Materials purchases
iv.
Labour (in hours and in Tshs)
Contemporary Business Mathematics with Canadian Applications
ISBN: 978-0134141084
11th edition
Authors: S. A. Hummelbrunner, Kelly Halliday, Ali R. Hassanlou, K. Suzanne Coombs