The works cost of a certain article is Rs. 500 and the selling price is Rs. 1,000. The following selling and distribution (direct) expenses were incurred:
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Freight and carriage Don't use plagiarized sources. Get Your Custom Essay on
you are required to set out the final cost of the article using the method of percen 618466
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50 |
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Insurance |
15 |
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Commission |
45 |
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Packing cases |
15 |
The estimated fixed selling and distribution expenses for the year were Rs. 50,000, and the estimated value of sales for the year were Rs. 2,00,000.
You are required to set out the final cost of the article using the method of percentage on sales to recoup fixed selling and distribution expenses
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