The monthly budget for manufacturing overheads of a manufacturing company is given below.
|
Particulars |
Capacity 60% |
Capacity 100% |
|
Budgeted Production |
600 units |
800 units |
|
Wages |
Rs.1200 |
Rs.2000 |
|
Consumable Stores |
900 |
1500 |
|
Maintenance |
1100 |
1500 |
|
Power and Fuel |
1600 |
2000 |
|
Depreciation |
4000 |
4000 |
|
Insurance |
1000 |
1000 |
|
Total |
9800 |
12, 000 |
You are required to,
v Indicate which of the items are fixed, variable and semi variable
v Prepare a budget for 80% capacity
v Show the total cost, both fixed and variable per unit of output at 60%, 80% and 100% capacity levels.