From the following data relating to two vehicles A & B, compute the cost per running mile.
|
Vehicle A |
Vehicle B |
|
|
Mileage run (annual) |
15,000 |
6,000 |
|
Estimated life of vehicles |
1,00,000 |
75,000 |
|
Miles run per gallon of fuel |
20 |
15 |
|
Rs |
Rs |
|
|
Cost of vehicle |
25,000 |
15,000 |
|
Road tax (annual) |
750 |
750 |
|
Insurance (annual) |
700 |
400 |
|
Garage rent (annual) |
600 |
500 |
|
Supervision & salaries |
1,200 |
1,200 |
|
Drivers wages per hour |
3 |
3 |
|
Cost of fuel per gallon |
3 |
3 |
|
Tyres allocation per mile |
0.80 |
0.60 |
|
Repairs and maintenance per mile |
1.65 |
2.00 |
Charge interest at 5% per annum on cost of vehicles. The vehicles run 20 miles an hour on average.