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A manufacturer wants to produce PVC waterstopper. It is manufactured using the following raw materials i.e. PVC, Plasticiser, Calcium Carbonate and Stabiliser. These raw materials are available locally in the market and can be purchased on "per kg" basis. Waterstopper is being sold in running feet. Different types of waterstopper has different weights and subsequently different price points. The recipe of vinyl flooring manufacturing has been provided for one batch along with their per kg prices are given below: Chemical Name PVC Plasticiser Calcium Carbonate Stabiliser Quantity (KG) 25 8 40 2 Wastage of raw material is calculated at 3%. In addition to the raw material cost, overheads are calculated at Rs. 60/ Kg. The waterstopper is packed in PP Bags. One bag contains 100 running feet of waterstopper. Cost of One Bag is Rs. 75. The waterstopper bag is then tied with PET Straps and its comes in rolls. One roll of PET Strap is Rs. 500 weighing 1 kg. 50 gtams of PET Strap is used in packaging of one waterstopper bag. Raw Material Cost [including wastage] You are now hired as management consultants by the manufacturer to determine the raw material cost for waterstopper per running foot from the information provided above. The cost would include: - Overhead Cost Price (Rs.) 400/lb (pound) x 2.2 880 395/lb (pound)x2.2869 15/kg 480/kg Packaging Cost [Bag + PET Strap] Final Cost of Waterstopper per running foot [including all of the above] 20 marks 10 marks 10 marks 10 marks 3

- A manufacturer wants to produce PVC waterstopper. It is manufactured using the following raw materials i.e. PVC, Plasticiser, Calcium Carbonate and Stabiliser. These raw materials are available locally in the market and can be purchased on "per kg" basis. Waterstopper is being sold in running feet. Different types of waterstopper has different weights and subsequently different price points. The recipe of vinyl flooring manufacturing has been provided for one batch along with their per kg prices are given below

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