Stuck on a financial performance question..

topcat

A company uses 6000kg of material to produce 10,000 units. To budgeted production was 12,000 units and the standard output for this level was 6,600 kg at £2 per kg

The material usage is?

I get £1200

6600-6000 =600

600*2=1200


apparently it is £1000 but how?

SandyHood

I hope you don't mind
I have answered this within a posting on another thread
See if this helps
http://forums.aat.org.uk/showthread.php?38032-arggghhhh&p=271047#post271047

topcat

SandyHood wrote: »

I hope you don't mind
I have answered this within a posting on another thread
See if this helps
http://forums.aat.org.uk/showthread.php?38032-arggghhhh&p=271047#post271047

Thank you sally this helps a lot :-) was driving me nuts