Cosmos Ltd. manufactures three types of products A, B and C. The sales territory of the company is divided into three areas: North, South and Central. The estimated sales for the year are as follows:
|
North |
South |
Central |
|
|
Product A |
Rs. 1,00,000 |
Rs. 40,000 |
Nil |
|
Product B |
Rs. 60,000 |
Nil |
Rs. 1,60,000 |
|
Product C |
Nil |
Rs. 1,40,000 |
Rs. 80,000 |
Budgeted advertising cost is as follows:
|
North |
6,400 |
|
South |
9,000 |
|
Central |
7,800 |
|
Common |
11,600 |
You are required to work out the advertising cost per cent on sales for each product and each territory and prepare a suitable statement for presentation to management.