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Data retrieved from a carpenter's budget for 2020 looks like this:

Direct material 5200

Direct salary 6500

Material cost (fixed) 1560

Manufacturing cost (fixed) 7150

Manufacturing cost (variable) 2275

Manufacturing cost 22685

Administrative expenses (fixed) 4537

Sales cost (fixed) 4537

Sales cost (variable) 2722

Cost 34481

All amounts in SEK thousand

The carpentry has direct material as a basis for material cost surcharges, direct salary as a basis for all manufacturing costs and administration costs and all sales costs are distributed with manufacturing costs as a basis.

A. Calculate the price for an order from a hotel for 20 designed armchairs, provided that direct materials are estimated to amount to SEK 24,000 and direct salary 32,000. The carpentry makes a profit surcharge of 20% on the company's cost. Calculate the price for whole orders.

B. The calculation was based on the assumption that an armchair requires 4 hours of work in the factory and that the hourly cost for a furniture carpenter is SEK 400. A post-calculation shows that the hourly cost since the offer was given has increased to SEK 420, but the time required for the entire order for 20 armchairs has been 72 hours in the factory. Make a deviation analysis where price (hourly wage) and quantity (time required) are presented as detailed as possible. Count on an armchair.

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