A machine that cost £35,000 is operated 8 hours a day in a 5-day week but one hour each day is used for test purposes. For use of the machine there are three scales of charges, the first at the rate of £5 an hour for private use, the second at £15 an hour for research work and the third at £40 an hour for commercial work. It is estimated that the number of hours charged at the first, second and third rates are in ratios 4:2:1. What percentage of total receipts do re
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Hrs to be used in a week =8*5-5= 35
Hrs used for purpose 1,2,3 are 20,10,5 resp
So revenue = 20*5 + 10*15 +40*5
=$450
% of cost =450/35000*100 =9/7 =1.3%
Hrs used for purpose 1,2,3 are 20,10,5 resp
So revenue = 20*5 + 10*15 +40*5
=$450
% of cost =450/35000*100 =9/7 =1.3%
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