Vidyalelo
Commerce · Q39

Costing

Graduate and Post Graduate · Commerce · question 39

Q39

Comprehensive machine hour rate includes ________.

A.
machine operators wages
Answer
B.
managing directors salary
C.
income tax
D.
office rent

Answer: Option A

Solution

Answer: Option A
Solution:
Comprehensive machine hour rate includes machine operators wages. Composite machine hour rate means the total variable expenses per hour plus the total fixed, constant or standing charges per hour not directly connected with the operation of the machine, but are the general factory overheads of the department.