Case#4 The followinginformation is available for Panasonic company new productli
ID: 2444350 • Letter: C
Question
Case#4
The followinginformation is available for Panasonic company new productline:
ParticularsRs.
Sales price per unit15
Variable manufacturingcost per unit 8
Total annual fixedmanufacturing cost 25,000
Variableadministrative cost per unit 3
Total annual fixedmarketing and administrative expenses 15,000
There was no inventoryat the beginning of the year. Normal capacity is 12,500 units.During the
year, 12,500 unitswere produced and 10,000 units were sold.
Read theabove case study carefully and write down the correctoption
number(e-g A, B, C, D) in the given Excel file
16. What is the valueof ending inventory, assuming the use of direct costing?
A. Rs.7,500
B.Rs.15,000
C.Rs.20,000
D.Rs.10,000
17. What is the valueof ending inventory, assuming the use of absorptioncosting?
A. Rs.7,500
B.Rs.15,000
C.Rs.25,000
D.Rs.10,000
18. Total variablecost charged to expense for the year, assuming the use of directcosting?
A.Rs.115,500
B.Rs.137,500
C.Rs.117,500
D.Rs.110,500
19. Total fixed costcharged to expense for the year, assuming the use of absorptioncosting?
A.Rs.20,000
B.Rs.15,000
C.Rs.35,000
D.Rs.40,000
20. What is the valueof Total fixed manufacturing cost per unit?
A. Rs.1
B. Rs.8
C. Rs.2
D. Rs.3
Explanation / Answer
19. Total fixed costcharged to expense for the year, assuming the use of absorptioncosting?
A.Rs.20,000
B.Rs.15,000
C.Rs.35,000
D.Rs.40,000
20. What is the valueof Total fixed manufacturing cost per unit?
A. Rs.1
B. Rs.8
C.Rs.2
D. Rs.3
DON'T FORGET TO RATE IF IT IS HELPFUL.
BEST OF LUCK.