A machine costs Rs 90,000 and is deemed to have a scrap value of 5% at the end of its effective life

(19 years). Usually, the machine is expected to run 2,400 hours per annum, but it is estimated that 150 hours will be lost for normal repairs and maintenance and further 750 hours will be lost due to staggering.

The other details in respect of the machine shop are as follows:

Wages, bonus and provident fund, contribution of each of two operators (each operator is in charge of two machines) Rs 6,000 per year Rent and rates of the shop Rs 3,000 per year General lighting of the shop Rs 250 per month Insurance premium for the machine Rs 200 per quarter Cost of repairs and maintenance per machine Rs 250 per month Shop supervisor’s salary Rs 500 per month Power consumption of the machine hour 20 units Rate of power per hundred units Rs 10 Other factory overheads attributable to the shop 4,000 per year There are four identical machines in the shop. The supervisor is expected to devote 1/5th of his time for supervising the machine. Compute a comprehensive MHR from the above details.