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Aggarwal and Co. has three production departments-A, B and C and one service department S. The following particulars are available for one month of 25
Aggarwal and Co. has three production departments-A, B and C and one service department S. The following particulars are available for one month of 25 working days of 8 hours each. All departments work all days with full attendance. Total Service deptt S Production deptt A Production deptt B Production deptt C 240 20% 200 30% 300 30% 360 20% Power and lighting $1,100 Supervisor's salary $2,000 Rent $500 Welfare $600 Others $1,200 Number of workers Floor area in sq. ft Service rendered by service department to production departments 200 10 500 200 30 600 400 40 800 400 20 600 50% 30% 20% Calculate the Labour Hour Rate' of each of the departments A, B and C
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