Question

Hodson Ltd is a one product firm with material cost per unit of £55.00 and labour...

Hodson Ltd is a one product firm with material cost per unit of £55.00 and labour cost per unit of £5.50. Labour cost is incurred at the rate of £11.00 per hour, and overheads are absorbed at the rate of £37.00 per labour hour. Hodson Ltd applies mark up to its product at a standard rate of 50% on total cost. What is the expected margin for the product?

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #2

answered by: anonymous
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Pagley Company’s standard labour cost of producing one unit of product DD is 3.00 hours at...
Pagley Company’s standard labour cost of producing one unit of product DD is 3.00 hours at the rate of $10.00 per hour. During August, 30,500 hours of labour are incurred at a cost of $10.10 per hour to produce 10,000 units of product DD. what is total material variance materials price variance materials quantity variance
Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product....
Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: Direct materials: 5 kg at $11.00 per kg $ 55.00   Direct labour: 3 hours at $12 per hour 36.00   Variable overhead: 3 hours at $7 per hour 21.00   Total standard cost per unit $ 112.00   The company planned to produce and sell 21,000...
Misc. Ltd. has set up the following standards for materials and direct labour for a standard...
Misc. Ltd. has set up the following standards for materials and direct labour for a standard batch of 10,000 units: Direct Materials: 10 kg. per unit @ Rs.30/kg. Direct labour: 1 hr. per unit @ Rs. 20/hr. The number of actual units produced was 9,810. During the month, material purchases amounted to 1,00,000 kg. at a total cost of Rs.31,00,000. The actual rate paid for labour was Rs.21 per hour. Actual inputs used were: 98,073 kgs. of material and 9,800...
1) In August 2000 kg of a material were introduced to a process at a cost...
1) In August 2000 kg of a material were introduced to a process at a cost of RM5/kg, and 200 hours labour were spent at a cost of RM12/hour. Overheads are absorbed at the rate of RM3/labour hour. Normal losses are incurred at the rate of 5% of input and lost units can be sold for RM0.8 per kilogram and 1,700 units were produced. Required (a) Prepare the process account to record the above transactions (b) Determine the value for...
You oversee the production facility of CC Compounders Ltd. CC Compounders Ltd manufactures compound which is...
You oversee the production facility of CC Compounders Ltd. CC Compounders Ltd manufactures compound which is being used in various extrusion processes. You are preparing for a management meeting. One of the points on the agenda is the explanation of the variance between actual production cost and standard production cost and to decide on action plans to address the reasons for the variance. The following is the standard cost per 1 ton of compound: Per Unit Price Standard Cost per...
QUESTION 4 Use the information provided below to calculate the following variances: • Raw material usage...
QUESTION 4 Use the information provided below to calculate the following variances: • Raw material usage variance • Direct labour rate variance • Direct labour efficiency variance • Variable overheads efficiency variance. Note: Indicate whether each variance is favourable or unfavourable. INFORMATION The standards and actual information for product Zin produced by ABC Ltd are as follows: Standards: Material J Labour Variable overheads Normal production 4 kg @ $5 per kg 3 hours @ $30 per hour $11 per labour...
You oversee the production facility of CC Compounders Ltd. CC Compounders Ltd manufactures compound which is...
You oversee the production facility of CC Compounders Ltd. CC Compounders Ltd manufactures compound which is being used in various extrusion processes. You are preparing for a management meeting. One of the points on the agenda is the explanation of the variance between actual production cost and standard production cost and to decide on action plans to address the reasons for the variance. The following is the standard cost per 1 ton of compound: Per Unit    Price Standard Cost...
Harper Ltd is a manufacturer of rowing boats. It has designed a new boat called the...
Harper Ltd is a manufacturer of rowing boats. It has designed a new boat called the Seafarer and expects to produce the Seafarer in a continuous operation over an 18 month period. During this period, it is expected that a total of sixteen Seafarer’s will be produced and sold. The production of the Seafarer is a labour intensive operation and units are produced one after another. The costs of producing the first Seafarer are as follows: Skilled Labour – 1,000...
A) ABC Ltd. is setting the price for a new product, using cost-plus pricing. Variable costs...
A) ABC Ltd. is setting the price for a new product, using cost-plus pricing. Variable costs of production for this product are estimated to be $1,000 per unit, and overheads of $200 per unit will be allocated to the product. The company wants to achieve a 50% profit margin on costs (50% markup). What selling price should ABC set? B) In Part A , ABC Ltd. assumed that sales volume for the new product would be 10,000 units in the...
Newton Ltd manufactures three products. The expected production levels for each product are shown below. Product...
Newton Ltd manufactures three products. The expected production levels for each product are shown below. Product 1 Product 2 Budgeted production in units 2,700 4,100 Two types of labour are used in producing the three products. Standard times per unit and expected wage rates for the forthcoming year are shown below: Product 1 Product 2 Hours per unit Skilled labour 3 1 Semi-skilled labour 4 4 Skilled labour is to be paid at the rate of $9/hour and semi-skilled labour...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT