The following particulars relate to a processing machine treating a typical material:
|
1. Cost of the machine |
Rs 10,000 |
|
2. Estimated life |
10 years |
|
3. Scrap value |
Rs 1,000 |
|
4. Yearly working time (50 weeks of 44 hours each) |
2,200 hours |
|
5. Machine maintenance |
200 hours per annum |
|
6. Setting up time estimated at 5% of total productive time and is regarded as productive time |
|
|
7. Electricity is 16 units per hour at 10 paise per unit |
|
|
8. Chemical required weekly |
Rs 20 |
|
9. Maintenance cost per year |
Rs 1,200 |
|
10. Two attendants control the operations of machine together with six other machines. Their combined weekly wages are |
Rs 140 |
|
11. Departmental overhead allocated to this machine per annum |
Rs 2,000 |
You are required to calculate the MHR.