The expenses budgeted for production of 1,000 units in a factory are furnished below:                      Particulars                           Per Unit OMR.                    Material Cost                                  700                    Labour Cost                                    250                    Variable overheads                         200                     Selling expenses (20% fixed)         130     Administrative expenses (OMR. 200,000)      200                                                                            Total Cost                   1,480   Prepare a budget for production of 800 units assuming administrative expenses are rigid for all level of production. a. OMR 1,239,300 b. OMR 1,229,200 c. OMR 1,350,000 d. OMR 1,250,000

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The expenses budgeted for production of 1,000 units in a factory are furnished below:

                     Particulars                           Per Unit OMR.

                   Material Cost                                  700

                   Labour Cost                                    250

                   Variable overheads                         200

                    Selling expenses (20% fixed)         130

    Administrative expenses (OMR. 200,000)      200                                      

                                     Total Cost                   1,480  

Prepare a budget for production of 800 units assuming administrative expenses are rigid for all level of production.

a.
OMR 1,239,300
b.
OMR 1,229,200
c.
OMR 1,350,000
d.
OMR 1,250,000
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