MACHINE HOUR RATE

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Arun Iyer

Arun Iyer (Querist)
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12 February 2011 PLS. HELP REG.

CALCULATION OF MACHINE HOUR RATE WITH ONE EXAMPLE.

THANKS.

CA Ravi Sisodia

CA Ravi Sisodia (Expert)
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12 February 2011 machine hour rate= total annual factory overheads/no. of machine hours

CA Ravi Sisodia

CA Ravi Sisodia (Expert)
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12 February 2011 if productive hrs and unproductive hrs are given then all the overheads are to be recovered by the productive hrs only.

repairs and maintenance are to be included in the factory overheads only.

standing and variable charges are nothing else but kinds of factory overheads....

all of them have to be added for calculating annual factory overheads.

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Arun Iyer

Arun Iyer (Querist)
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12 February 2011 Thank You Gi

CA Ravi Sisodia

CA Ravi Sisodia (Expert)
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12 February 2011 MOST WELCOME JI.