Question 1:
Office Products Ltd provides the Sales and the cost data for 60,000 units as given below. At full capacity the plant can produce 100,000 units
Sales Rs. 12,00,000
Costs:
Variable:
Material Rs. 2,40,000
Labour Rs. 3,60,000
Overheads Rs. 1,80,000
Fixed Cost Rs. 3,20,000
Total Rs.11,00,000
PROFIT Rs. 1,00,000
Prepare the Income statement under marginal costing for production at 80,000 units.
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