Product P has a sales of 80,000 units per annum and other details as follows: Material=4,80,000 Labor=1,60,000 Variable Overheads=3,20,000 Fixed Overhead=5,00,000 Fixed portion of the capital employed is 12 Lakhs. Its varing portion will be 50% of sales turnover. Find the selling price per unit to earn 12% net on capital employed(Net of Tax @40%)
Product P has a sales of 80,000 units per annum and other details as follows: Material=4,80,000 Labor=1,60,000 Variable Overheads=3,20,000 Fixed Overhead=5,00,000 Fixed portion of the capital employed is 12 Lakhs. Its varing portion will be 50% of sales turnover. Find the selling price per unit to earn 12% net on capital employed(Net of Tax @40%)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Product P has a sales of 80,000 units per annum and other details as follows:
Material=4,80,000
Labor=1,60,000
Variable
Fixed Overhead=5,00,000
Fixed portion of the capital employed is 12 Lakhs. Its varing portion will be 50% of sales turnover.
Find the selling price per unit to earn 12% net on capital employed(Net of Tax @40%)
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