Ask Question, Ask an Expert


Ask Cost Accounting Expert

problem: The given particulars relate to the electrical appliances machine:

a) The original cost of the machine employed (purchased in June 1982) was Rs. 10,000. Its estimated life is 10 years; the estimated scrap value at the end of its life is Rs. 1000 and the estimated working time per year (50 weeks of 44 hrs) is 2,200 hrs of which machine maintenances and so on is estimated to take up 200 hrs.

No other loss of working time is predicted, setting up time estimated at 5% of total productive time is regarded as the unproductive time. (Bank holidays are to be avoided).

b) Electricity employed by the machine throughout production is 10 units per hour at a cost of 10 P. per unit. No current is taken throughout maintenance or setting up.

c) The machine needs chemical solution that is replaced at the end of each week at a cost of Rs. 20 each time.

d) The estimated cost of maintenance per year is Rs. 1,200

e) Two attendants control the operation of the machine altogether with five other identical machines. Their combined weekly wages, insurance and the employer’s contributions to holiday pay amount to Rs. 120.

f) Departmental and general works overheads allocated to this machine for the year 1982-83 amount to Rs. 2,000.

You are needed to compute the machine hour rate essential to provide for recoupment of the cost of operating the machine.

Cost Accounting, Accounting

  • Category:- Cost Accounting
  • Reference No.:- M98469

Have any Question? 

Related Questions in Cost Accounting

Assessment requirementsthis assessment has four primary

ASSESSMENT REQUIREMENTS This assessment has four primary aims: 1. To provide you with an opportunity to develop your understanding of standard costing and variance analysis; 2. To provide you with the means to further re ...

Abc costing1 assume you own a business that makes two

ABC COSTING 1. Assume you own a business that makes two complementary products for which you allocated manufacturing overhead proportionally. A competitor is trying to undercut your price for one of the products. How mig ...

This consists of a series of short answers to given

This consists of a series of short answers to given questions or statements. In a single Word document, provide 1-2 paragraphs about each of the following: 1. Explain and provide an example of each step of the five-step ...

Cost accounting assessment - group reportlearning outcomesa

Cost Accounting Assessment - Group Report Learning outcomes a) Select devise and apply different types of cost allocation and explain their different roles for supporting strategic managerial decision making. b) Design a ...

Assignmentproblem 1 cvp analysisthe owners of cobbs gym

Assignment Problem 1: CVP analysis The owners of Cobb's Gym currently are working on their operating plan for the coming year, and they have provided you with the following average membership and cost data for the previo ...

Nbspquestions1 can marginal product be zero or negative2

Questions: 1. Can Marginal Product be Zero or negative? 2. What would be Marginal Cost if cost of producing 4 units is '50 and that of 5 units is '68? 3. Is the difference between ATC and AVC is constant? Give reason whe ...

Assignment 1 - consider the places of employment of the

Assignment 1 - Consider the places of employment of the team members or businesses with which the team is familiar and the industries in which they operate. Create a 12-slide presentation, including detailed speaker note ...

Question 1the following data is supplied to youmonthunits

Question 1: The following data is supplied to you: MONTH UNITS PRODUCED COSTS January 1 000 R3 800 February 1 060 R4 110 March 900 R3 560 April 1 100 R4 470 May 1 160 R4 600 June 1 310 R4 995 Required Determine the total ...

Part 1maintaining and controlling projectshow does evm

Part 1 Maintaining and Controlling Projects How does EVM operationalize or put into practice the management of trade-offs implied by the triple constraint discussed since the beginning of the course? Does it allow a bala ...

Part aemu electronics is an electronics manufacturer

Part A Emu Electronics is an electronics manufacturer located in Box Hill, Victoria. The company's managing director is Shelly Chan, who inherited the company from her father. The company originally repaired radios and o ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

A cola-dispensing machine is set to dispense 9 ounces of

A cola-dispensing machine is set to dispense 9 ounces of cola per cup, with a standard deviation of 1.0 ounce. The manuf

What is marketingbullwhat is marketing think back to your

What is Marketing? • "What is marketing"? Think back to your impressions before you started this class versus how you

Question -your client david smith runs a small it

QUESTION - Your client, David Smith runs a small IT consulting business specialising in computer software and techno

Inspection of a random sample of 22 aircraft showed that 15

Inspection of a random sample of 22 aircraft showed that 15 needed repairs to fix a wiring problem that might compromise

Effective hrmquestionhow can an effective hrm system help

Effective HRM Question How can an effective HRM system help facilitate the achievement of an organization's strate