Profit Or loss prior to incorporation(ipcc gp1)
Calculate Wage Ratio
date of taking over business:1.1.2001
date of incorporation : 1.5.2001
date of commencement of business : 1.7.2001
accounting perid = calander year
total wages incurred 2001 = Rs 72000
calculate wage ratio, when rates of wages tripled from 1st april 2001.
plz solve with simple workings! I want to know how the problem has been solved??? answer of wage ratio is 1:4
any one?plz reply fast!!
is there ne1 who can solve this?
Pre-incorproation period = 01.01.2001 to 30.04.2001 (4m)
.
Post-incorporation period = 01.05.2001 to 31.12.2001 (8m)
.
Let the rate of wages (row) be x
.
|
Pre |
..Jan.. |
..Feb.. |
..Mar.. |
..Apr.. |
||||
|
row |
x |
x |
x |
3x |
||||
|
Post |
..May.. |
..Jun.. |
..July.. |
..Aug.. |
..Sep.. |
..Oct.. |
..Nov.. |
..Dec.. |
|
row |
3x |
3x |
3x |
3x |
3x |
3x |
3x |
3x |
.
Therefore, wages ratio (Pre:Post) = (3x+3x : 3x*8) or, 6x : 24x or, 1:4
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