The following data are available in a manufacturing company for the year 2010:
|
|
Rs. (Lakhs) |
|
Fixed Expenses: |
|
|
Wages & Salaries |
9.5 |
|
Rent, Rates & Taxes |
6.6 |
|
Depreciation |
7.4 |
|
Sundry Administrative Expenses |
6.5 |
|
Semi-Variable Expenses [at 50% capacity]: |
|
|
Repairs & Maintenance |
3.5 |
|
Indirect Labour |
7.9 |
|
Sales Department Salaries |
3.8 |
|
Sundry Administrative expenses |
2.8 |
|
Variable Expenses [at 50% capacity]: |
|
|
Materials |
21.7 |
|
Labour |
20.4 |
|
Other Expenses |
7.9 |
|
98.00 |
Assume that the Fixed Expenses remain constant for all levels of production, and Semi-Variable Expenses remain constant between 45% and 60% of capacity, increasing by 10% between 65% and 80% capacity and by 20% between 80% and 100% capacity.
Sales at various levels are as follows:
|
|
Rs. (Lakhs) |
|
50% Capacity |
100 |
|
60% Capacity |
120 |
|
75% Capacity |
150 |
|
90% Capacity |
180 |
|
100% Capacity |
200 |
Prepare a Flexible Budget for the year and Forecast the Profit at 50%, 60%, 75%, 90% and 100% of capacity.