MAC3701 Assignment 1 of 2021 (October exams)

MAC3701 ASSIGNMENT 1 OF 2021
1. 2

2. 1

R
Rental (2 350 ∗ 12) 28 200
Servicing 7 800
Website costs (900 ∗ 4) 3 600
Total annual fixed costs 39 600


3. 4

Standard – Extra – length
length curtain
curtain
R R
Selling price 250 280
Less Variable Costs (160.55) (181.9)
2.23 2.55 144.95 165.75
Sewing Fabric [( 100 ∗ 6 500) ; ( 100 ∗ 6 500)]
8 10
Thread [( ∗ 25) ; ( ∗ 25)] 0.20 0.25
1 000 1 000
Sundry sewing materials 8 10
12 9
Direct labour [(60 ∗ 30) ; (60 ∗ 30)] 6 4.50
1.40 1.40
Clicks on website

Contribution 89.45 98.10


4 1
Weighted Contribution = [(5 ∗ 89.45) + (5 ∗ 98.10)]
= 𝑹𝟗𝟏. 𝟏𝟖

, 4. 3

4 1
Weighted contribution per unit = [(5 ∗ 100) + (5 ∗ 115)]
= 𝑹𝟏𝟎𝟑


𝑻𝒐𝒕𝒂𝒍 𝑭𝒊𝒙𝒆𝒅 𝑪𝒐𝒔𝒕𝒔
Break even = 𝑾𝒆𝒊𝒈𝒉𝒕𝒆𝒅 𝑪𝒐𝒏𝒕𝒓𝒊𝒃𝒖𝒕𝒊𝒐𝒏

103 000
= 103


= 𝟏 𝟎𝟎𝟎 𝒖𝒏𝒊𝒕𝒔

R
4
Standard length curtain (5 ∗ 1 000 ∗ 250) 200 000
1
Extra length curtain (5 ∗ 1 000 ∗ 280) 56 000
256 000


5. 1

𝑻𝒐𝒕𝒂𝒍 𝑭𝒊𝒙𝒆𝒅 𝑪𝒐𝒔𝒕𝒔+𝑻𝒂𝒓𝒈𝒆𝒕𝒆𝒅 𝑷𝒓𝒐𝒇𝒊𝒕
Units to be sold to achieve targeted profit = 𝑾𝒆𝒊𝒈𝒉𝒕𝒆𝒅 𝑪𝒐𝒏𝒕𝒓𝒊𝒃𝒖𝒕𝒊𝒐𝒏


103 000+(7 000 ∗ 12)
= 103


= 𝟏 𝟖𝟏𝟔 𝒖𝒏𝒊𝒕𝒔

Breakdown
4
Standard length curtain = (1 816 ∗ 5)
= 𝟏 𝟒𝟓𝟑 𝒖𝒏𝒊𝒕𝒔

1
Extra length curtain = (1 816 ∗ 5)
= 𝟑𝟔𝟒 𝒖𝒏𝒊𝒕𝒔

6. 5