1. Units of output – appropriate when all the units produced are identical and involve identical time and production process.
2. Direct labour hour– appropriate in those departments which are labour intensive.
3. Direct machine hour– appropriate in those cost centers where machines are used to great extend in-order to complete the production process.
4. Direct wages percentage– appropriate where wages paid are related to time.
5.Direct material percentage– suitable for those organizations when material cost represents
a large portion of total costs and where the material cost is significant factor.
6.Prime cost percentage:- most appropriate where each jobs material and labour cost proportions vary to great extent
Wilfykil answered the question on April 17, 2019 at 07:55
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Simon worked 360 hours during the month of June 2012 and he was paid at the rate of Ksh 200 per hour. During the month...
(Solved)
Simon worked 360 hours during the month of June 2012 and he was paid at the rate of Ksh 200 per hour. During the month he completed three jobs. The following additional information was provided.
Calculate the labour cost chargeable to these three jobs on the assumption that these jobs were completed only by Simon.
Date posted:
April 17, 2019
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Answers (1)
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From the following information, prepare a payroll for the month of May 2014.
(Solved)
From the following information, prepare a payroll for the month of May 2014.
Additional Information
1. Normal working hours per month are 180. Overtime payable for extra hours at the rate of 50% above normal pay rate.
2. P.A.Y.E to be deducted at the rate of 20% of gross wage.
3. N.S.S.F to be deducted Ksh200 for each employee.
4. N.H.I.F to be deducted Ksh400 for each employee.
Date posted:
April 17, 2019
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Answers (1)
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The following information was extracted from the books of Danex Holdings regarding its stocks:
(Solved)
The following information was extracted from the books of Danex Holdings regarding its stocks:
Determine the following stock levels for Danex Holdings:
i. Re-order level
ii. Maximum stock level
iii. Minimum stock level
Date posted:
April 17, 2019
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Answers (1)
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What considerations should be given to Stock Level and its control?
(Solved)
What considerations should be given to Stock Level and its control?
Date posted:
April 17, 2019
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Answers (1)
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Outline the factors Affecting Stock Levels
(Solved)
Outline the factors Affecting Stock Levels
Date posted:
April 17, 2019
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Answers (1)
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A company has an annual demand for material “p” of 25,000 tons per annum. The cost price per ton is Ksh2, 000 and stock holding...
(Solved)
A company has an annual demand for material “p” of 25,000 tons per annum. The cost price per ton is Ksh2, 000 and stock holding is 25% per annum of the stock value. Delivery cost per batch is Ksh400.
Calculate the Economic Order Quantity(E.O.Q)
Date posted:
April 17, 2019
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Answers (1)
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Outline the assumptions / limitation of Economic Order Quality
(Solved)
Outline the assumptions / limitation of Economic Order Quality
Date posted:
April 17, 2019
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Answers (1)
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Give objectives of Stock Control.
(Solved)
Give objectives of Stock Control.
Date posted:
April 17, 2019
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Answers (1)
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Explain Average Weighted Cost Average as a method of Valuing Material Issues
(Solved)
Explain Average Weighted Cost Average as a method of Valuing Material Issues
Date posted:
April 17, 2019
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Answers (1)
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Explain Last In, First Out (LIFO) as a method of Valuing Material Issues
(Solved)
Explain Last In, First Out (LIFO) as a method of Valuing Material Issues
Date posted:
April 17, 2019
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Answers (1)
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Explain First In First Out (FIFO) as a method of Valuing Material Issues
(Solved)
Explain First In First Out (FIFO) as a method of Valuing Material Issues
Date posted:
April 17, 2019
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Answers (1)
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Define the term Perpetual inventory
(Solved)
Define the term Perpetual inventory
Date posted:
April 17, 2019
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Answers (1)
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Explain Just-in-time (JIT) systems
(Solved)
Explain Just-in-time (JIT) systems
Date posted:
April 17, 2019
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Answers (1)
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Discuss on the systems of Stock Taking
(Solved)
Discuss on the systems of Stock Taking
Date posted:
April 17, 2019
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Answers (1)
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Define material Coding and its' purposes
(Solved)
Define material Coding and its' purposes
Date posted:
April 17, 2019
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Answers (1)
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Name and explain types of Stores
(Solved)
Name and explain types of Stores
Date posted:
April 17, 2019
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Answers (1)
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List the features of Effective and Good Store keeping
(Solved)
List the features of Effective and Good Store keeping
Date posted:
April 17, 2019
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Answers (1)
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Discuss Purchasing procedure as an aspect of material control
(Solved)
Discuss Purchasing procedure as an aspect of material control
Date posted:
April 17, 2019
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Answers (1)
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What does material Control mean in cost accounting?
(Solved)
What does material Control mean in cost accounting?
Date posted:
April 17, 2019
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Answers (1)
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The production manager of Kemu ltd Company, is concerned abut the apparent fluctuation in efficiency and wants to determine how labour costs (in Sh.) are...
(Solved)
The production manager of Kemu ltd Company, is concerned abut the apparent fluctuation in efficiency and wants to determine how labour costs (in Sh.) are related to volume. The following data presents results of the 12 most recent weeks.
Required:
Estimate the cost function using:
a) The high low method
b) Regression analysis
Assume that the Company intends to produce 45 units, 34 units next period
Estimate the labour cost to be incurred.
c) Assume that the company (in illustration 2.1) intends to spend Sh.400 on labour cost next period. Compute the number of units that the company may produce.
Date posted:
April 17, 2019
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Answers (1)