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Exam (elaborations)

MAC2601 Assignment 3 { COMPULSORY ANSWERS} Semester 2 (Due Date 15 September 2026)

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MAC2601 Assignment 3 { COMPULSORY ANSWERS} Semester 2 (Due Date 15 September 2026)

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, MAC2601 ASSIGNMENT 3 SEMESTER 2

DUE DATE: 15 SEPTEMBER 2026




QUESTION 1: T & T Mofokeng (Pty) Ltd

1. Preparatory Calculations


Calculation Working Answer

(R800 000 − R600 000) ÷ (25 000 − 15
Variable Overhead per Unit R20 per unit
000)

Total Fixed Manufacturing
R800 000 − (25 000 × R20) R300 000
Overhead

Budgeted Production for 2025 Given 20 000 units

Actual Production Given 20 000 units

Actual Sales 20 000 − 2 000 18 000 units

Closing Inventory Given 2 000 units

R350 per
Selling Price per Unit R280 × 1.25
unit

Variable Manufacturing Cost per R160 per
R80 DM + R60 DL + R20 VMO
Unit unit

Predetermined Fixed Overhead
R300 000 ÷ 20 000 units R15 per unit
Rate

R175 per
Total Absorption Unit Cost R160 + R15
unit

Under-allocated Fixed Overhead R700 000 − (20 000 × R15) R400 000


(a) Actual Income Statements for the Year Ended 31 December 2025

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