UNIT 2: MAY 2012, QUESTION #2 (B)

2b (i) Preparation of the job cost sheet of Akupa Engineering for job Y152:

Under the traditional job costing system Job Y152 total costs equals $382,777.59.

 2b (ii) Calculation of quotation price for job Y152:
Akupa Engineering Ltd.’s profit margin is 25% therefore:
Cost price = 75%
Profit Margin = 25%
Selling Price = 100%
​
 The quoted price of Job Y152 will therefore equal $385,777.59/75% x 100% = $514,370.12.

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