Compute MHR from the following data.
|
Cost of the machine |
Rs 1,00,000 |
|
Installation charges |
Rs 10,000 |
|
Estimated scrap value after the expiry of its life (15 years) |
Rs 5,000 |
|
Rent and rates for the shop per month |
Rs 200 |
|
General lighting for the shop per month |
Rs 300 |
|
Insurance premium for the machine per annum |
Rs 960 |
|
Repairs and maintenance per annum |
Rs 1,000 |
|
Power consumption 10 units per hour |
|
|
Rate of power per 100 units |
Rs 20 |
|
Estimated working hours per annum, which includes setting up time of 200 hours |
2,200 |
|
Shop supervisor’s salary per month |
Rs 600 |
The machine occupies one fourth of the total area of the shop. The shop supervisor is expected to spend one fifth of his time for supervising the machine.