A manufacturer incurred the following costs to produce one unit of a product. Cost Component Direct Material Direct Labour Selling Expenses Amount (Rs.) Rs. 120 Rs. 250 Rs. 60 Selling Price per Unit Rs. 750 Overhead expenses per unit are Rs. 120, out of which 40% is variable overheads. Calculate the Contribution per unit of the product.
A manufacturer incurred the following costs to produce one unit of a product. Cost Component Direct Material Direct Labour Selling Expenses Amount (Rs.) Rs. 120 Rs. 250 Rs. 60 Selling Price per Unit Rs. 750 Overhead expenses per unit are Rs. 120, out of which 40% is variable overheads. Calculate the Contribution per unit of the product.
Chapter5: Process Costing
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Calculate the contribution per unit of the product
Transcribed Image Text:A manufacturer incurred the following costs to
produce one unit of a product.
Cost Component
Direct Material
Direct Labour
Selling Expenses
Amount (Rs.)
Rs. 120
Rs. 250
Rs. 60
Selling Price per Unit Rs. 750
Overhead expenses per unit are Rs. 120, out of
which 40% is variable overheads.
Calculate the Contribution per unit of the product.
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