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Evaluate out variable cost per units and total fixed cost

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Reference no: EM132637626

HASF Glassworks makes glass flanges for scientific use Material cost Rs.10 per flange and the glass blowers are paid a wage rate of 100 per hours a glass blower blows 20 flanges in two hours. Fixed manufacturing costs for flanges are 25000 per period. other non-manufacturing cost associated with flanges are 10,000 per period and are fixed.

Required:

Question 1: Find out variable cost per units and total fixed cost.

Question 2: Assume Company manufactures and sells 10,000 flanges this period their competitor sells flanges for 15 each. can company sell below competitor price and make a profit on the flanges

Question 3: How would be your answer to requirement 2 differ if company made and sold 20,000 flanges this period why

Reference no: EM132637626

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