From the following, data relating to vehicle X calculate the cost per running kilometre. Vehicle X Kilometres
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From the following, data relating to vehicle ‘X’ calculate the cost per running kilometre.
Vehicle X Kilometres run (annual) 15,000 Tons per km (average) 6 Cost of vehicle Rs 25,000 Road licence (annual) Rs 750 Insurance (annual) Rs 700 Garage rent (annual) Rs 900 Supervision and salaries Rs 2,400 Drivers wages per hour Rs 3 Cost of fuel per litre Rs 3 Kilometres run per litre 20 Repairs and maintenance per km Rs 1.75 Tyre allocation per km 90 paise Estimated life of vehicle 1,00,000 km Charge interest at 5% p.a. on cost of vehicle. The vehicle runs 20 km per hour on an average.
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