Question
Question 1 The budgeted direct labour hours for Vincent Ltd are made up of the following working practices in each of these three departments: MACHINING
Question 1 The budgeted direct labour hours for Vincent Ltd are made up of the following working practices in each of these three departments: MACHINING 15 operators are classed as direct labour. During the 52-week year, one week is taken up with Bank holidays and in addition there are 3 weeks holiday per year. On average, the operators are sick for one week per year. A 40-hour basic week is worked, plus overtime which is expected to average 4 hours per week per operator. Breaks average 2.5 hours per week per operator, waiting time 3.5 hours and other lost time amounts to one hour. FABRICATION The same as the machining department but only 5 operators are employed and there is no overtime. FINISHING The same as the machining department but there are only 5 operators, and an average of 2 hours overtime is worked per employee. REQUIRED: Calculate the budgeted annual productive hours for each of the three departments.
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