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basis for Rs. 1,290. The time spent by each of them is 220 ordinary working hours. The rates of pay on some- Two fitters, a
basis for Rs. 1,290. The time spent by each of them is 220 ordinary working hours. The rates of pay on some- Two fitters, a labourer and a boy undertake a job on piece rate rate basis are Rs. 1.50 per hour for each of the two fitters, Re. 1 per hour for the labourer and Re. 0.50 per hour for the boy. Calculate: *a) The amount of piece-work premium and the share of each worker, when the piece-work premium is divided proportionately to the wages paid. (b) The selling price of the above job on the basis of the following additional data: Cost of Direct Material Rs. 2,010, Works Overhead at 20% of Prime Cost, Selling Overhead at 10% of Works Cost and Profit at 25% on Cost of Sales. (1.C.W.A. Inter, June 1988)
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