Compute the MHR from the following data:
|
Cost of machine |
Rs 1,00,000 |
|
Installation charges |
Rs 10,000 |
|
Estimated scrap value after the expiry of 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 |
|
Repair and maintenance per annum |
Rs 1,000 |
|
Power consumption of 10 units per hour |
|
|
Rate of power per 100 units |
20 |
|
Estimated working hours per annum |
2,200 |
|
This includes setting up time of 200 hours |
|
|
Shop supervisor’s salary per month |
600 |
The machine occupies one fourth of the total area. The supervisor is expected to devote one fifth of his time for supervising the machine.
Hint: Assume setting up time of 200 hours as normal. Compute the rate for productive hours: 2,200 200 = 2,000.