Required:a. Identify by showing calculations, which is the limiting factor of the company for themonth...

80.2K

Verified Solution

Question

Accounting

Required:a. Identify by showing calculations, which is the limiting factor of the company for themonth of June:i. Labour hourii. Machine hour

image
Aneka Sedap Sdn Bhd manufactures four types of cookies which are packed in special tin containers with the company popular brand name. The following table shows information for the month of June for each of the products: Product name Shortbread Cheese Almond Chocolate Finger London Finger Selling price . . . 45.00 Direct material . . - 9.00 Direct labour . . . 900 Production overhead . . . 10.00 Prot per container \"El.3133- 17-00 Labour hours per container 3 2 Expected demand (containers) 200 250 Due to the forthcoming festive season. demand for the cookies is higher than normal. The Production Manager has informed the Management Accountant that the availability of labour Page 3 of 4 and machine time will be restricted in June. This is because one of the mixing machines will undergo routine maintenance, thus reducing the machine hours available for production to 1,350 hours only. As for labour, only 3,200 labour hours is available for the month. The overheads above are absorbed based on labour hours. Budgeted xed overheads of RM3,900 for June is absorbed based on 3,000 budgeted labour hours

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students