Question

The budgeted standard hours of a factory is 12000.the capacity of utilisation ratio for april,2013 stood at 90% while the efficiency ratio for the month came to 120%.the actual production in standard hours for april 2013 is?

Answer 1

Answer:

4026

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Answer 2

Explanation:

in April 2013:-

the budgeted std. hrs.= 12000

capacity utilisation ratio =90%

efficiency ratio=120%

so actual production is= budget std hrs.* capacity utilisation ratio* efficiency ratio

= 12000*90%*120%

= 12960 hrs.