Which one of the following is NOT one of the five stated fundamental principles of CIMA's code of ethics?
A company uses an integrated accounting system and absorbs production overhead using a predetermined rate of $6 per machine hour.
Last period a total of 25,500 machine hours were worked and the actual production overhead incurred was $158,000.
The accounting entries for the absorption of production overhead for the period would be:
Budgets are produced:
(a) For planning purposes
(b) For control purposes
(c) To be published with the annual accounts
(d) To comply with international accounting standards
PQR Manufacturing Ltd. has 3,000,000 of fixed costs for the forthcoming period. The company produces a single product 'X', which has a selling price of 75 per unit and total cost of 50.
75% of the total cost represents variable costs.
What are the break-even units?
