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Solution of Quiz 4
Solution of Quiz 4
Solution of Quiz 4
Local sales 40
Export Sales 33
Per unit Price 11
Question 2
Skimmed Milk in KG 180
Price per KG 35
Opporunity Cost 6300
Packet per KG 4
Total No. of Packets produced 720
Extra Cost 3600
Total relevant Cost 9900
Per Packet Cost 13.75
Any price above than 13.75.
Present Proposed Diff
Variable 150 211.5
fixed 100 240
Total Cost 250 451.5
Revenue 300 501.5
Profit 50 50
Local sales 40
Export Sales 31
Per unit Price 10.33
Question 2
Skimmed Milk in KG 180
Price per KG 40
Opporunity Cost 7200
Packet per KG 4
Total No. of Packets produced 720
Extra Cost 3600
Total relevant Cost 10800
Per Packet Cost 15
Any price above than 15.
Question 1
Particulars Rs. (million) Present Proposed
Variable Cost 15 Variable 15 25
Fixed Cost 1 fixed 15 16
Opportunity Cost 15 Total Cost 30 41
Export Sales 31 Or Revenue 60 71
Per unit Price 10.33 Profit 30 30
Local sales 40
Export Sales 31
Per unit Price 10.33
Question 2
Skimmed Milk in KG 180
Price per KG 30
Opporunity Cost 5400
Packet per KG 4
Total No. of Packets produced 720
Extra Cost 3600
Total relevant Cost 9000
Per Packet Cost 12.5
Any price above than 12.5