Lala Land Sdn Bhd manufactures two types of educational toy for the school children namelyLili and Lolo. The manufacturing of the toys will use two types of materials, 001 and 002, andtwo grades of labour, skilled labour and semi-skilled labour.Data regarding the consumption of material and the hours worked to produce one unit of eachproduct is shown below:LiliLoloDirect material 001(RM4 per kg)10 kilos12 kilosDirect material 0023 kilos2 kilos(RM10 per kg)Skilled labour4 hours2.5 hours(RM10 per hour)Semi-skilled labour2 hours1.5 hours(RM6 per hour)Projected data for January 2018 are as follows:LIILolo001002Opening stock (units)Closing stock(units)9001,50014,00010,5009901650Units sold12501000Required:Using the information above, you are required to prepare the following budgets for the monthof January 2018:a) Production Budget for Lil and Loklo.b) Direct Material Purchase Budget for materials 001 and 002.c) Direct Labour Budget for Lili and Lolo.

Given: The material consumption details is shown below, The projected data for January 2018 is,

Answered: Lala Land Sdn Bhd manufactures two…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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