s R120 000. The 50 000 and internet serv ghts = R10 000 D5 000

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter12: Activity-based Management
Section: Chapter Questions
Problem 19E: A company is spending 70,000 per year for inspecting, 60,000 per year for purchasing, and 56,000 per...
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A company obtains an annual revenue of R300 000. The annual cost of
goods sold is R120 000. The expenses are made up as follows:
Salaries = R50 000
Telephone and internet services = R8 000
%3D
Water and lights = R10 000
Stationery = R5 000
Bank charges = R500
Compile a budget for this company showing the Gross profit and Net profit
both in Rands and as a percentage value.
Transcribed Image Text:A company obtains an annual revenue of R300 000. The annual cost of goods sold is R120 000. The expenses are made up as follows: Salaries = R50 000 Telephone and internet services = R8 000 %3D Water and lights = R10 000 Stationery = R5 000 Bank charges = R500 Compile a budget for this company showing the Gross profit and Net profit both in Rands and as a percentage value.
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