Question 2 The Printing press is in the business of printing and publication of magazines. The following cost relates to printing of a standardized magazine- "Stand Out" information has been provided: Cost of Printing Equipment Scrap value after 2 years or printing 60,000 magazines Printing Equipment Maintenance cost- 6 monthly service cost Spare parts per 1,000 magazine print out Copyright fees, per every two years Magazine content insurance per annum Cost of an ink tonner Paper cost per rim Average print out per rim of paper and a tonner ink Requirement GHC 55,000 15,000 600 5,000 1,800 1,500 90 100 25 magazines As the management accountant, i. Presents a schedule showing total fixed cost, Total Variable cost, per unit variable cost, Total cost and Variable cost per unit if Focus Ltd prints out 6000; 12,000; 18,000 and 36,000 copies of "Stand -sverks Out" magazine per annum ii. Advise management on the minimum copies of "Stand out" to be produced and sold in order for Smacks Focus Press to keep afloat, assuming selling price per magazine is GHC16.60 Tataiste
