Question

13. Compute the machine hour rate from the following data :
Cost of machine
Installation charges
Estimated scrap value after the expiry of its life (15 years)
Rent and rates for the shop per month
General lighting for the shop per month
Insurance premium for the machine per annum
Repairs and maintenance expenses per annum
Power consumption - 10 units per hour
Rate of power per 100 units
20
Estimated working hours per annum - 2,200
(This includes setting up time of 200 hours)
Shop supervisor's salary per month
600
The machine occupies 1/4 of the total area of the shop. The supervisor is expected to
devote 1/5 of his time for supervising the machine, (B. Com "Tons. Delhi 1977)
Rs.
1,00,000
10,000
5,000
200
300
960
1,000

Answer 1

Answer:

If factory overhead is Rs 3, 00,000 and total machine hours are 1,500, the machine hour rate is Rs 200 per machine hour (Rs 3, 00,000 ÷ 1500 hours).

Answer 2

Answer:

n

Explanation: