Calculate machine hour rate from the following: Cost of machine: ₹19,200 Estimated scrap value: ₹1,200 Average repair and maintenance charges per month: ₹150 Standing charges allocated to machine per month: ₹50 Effective
CS Executive · Cost and Management Accounting · PYQS · June 2016
Calculate machine hour rate from the following: Cost of machine: ₹19,200 Estimated scrap value: ₹1,200 Average repair and maintenance charges per month: ₹150 Standing charges allocated to machine per month: ₹50 Effective working life of machine: 10,000 hours Running time per month: 166 hours Power used by machine 5 units per hour @: 19 paise per unit Choose the correct option —
Answer & Explanation:
Correct Answer: Option (B)
Official answer key: (B).
Topics: Overhead Costing
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