M.Com.

Semester 1
Solution - Advanced Managerial Accounting

contribution 50-10 =
I a)contibution for a year for 400 rooms = 40 * 365 * 400 =
Less: Fixed Cost
Profit

I b)contibution for a year for 200 rooms = 40 * 365 * 200 =

Less: Fixed Cost
loss

II Break Even 3200000/40/365

full occupancy
Percentage Ocuppancy 220/400

Purchasing materials 12,00, 000 Purchase requisitions

Inspecting finished products 1,00,000 Inspection hours
Running machines 27,00,000 Machine hours
Setting up machines 160000 Machine setups
Assembling products 50,00,000 Direct labor hours

Selling Price
Less : Variable Costs
Contribution
Machine Hours required
Contribution per machine hour

units
Maximum of B 3000
A ( remaining M. Hrs.) 2600
Total
Less : Fixed Costs
Profit
 emester 1
Managerial Accounting

Marks
40
5840000
3200000
2640000 1

2920000
3200000
-280000 1
per day per year
219.1780821918 80000 2 either one will do
220 146000
55% 55% 1

10,000 requisitions 120 1200000/10000 1

20,000 hours 5 1
90,000 hours 30 1
2,000 setups 80 1
250,000 hours 20 1

Contribution per hour

A B
10 15
8 12
2 3
3 4
0.67 0.75 1

M.Hrs. Contribution
12000 9000 2 for correct units
7800 5200 1 correct contribution
19800 14200
9900
4300 1