A company calculates the prices of jobs by adding overheads to the prime cost and adding 30% to total costs as a profit margin. Job number Y256 was sold for Rs1690 and incurred overheads of Rs 694. What was the prime cost of the job? (a) Rs 489 (b) Rs 606 (c) Rs 996 (d) Rs 1300

A company calculates the prices of jobs by adding overheads to the prime cost and adding 30% to 

total costs as a profit margin. Job number Y256 was sold for Rs1690 and incurred overheads of Rs 694. 

What was the prime cost of the job?

(a) Rs 489

(b) Rs 606

(c) Rs 996

(d) Rs 1300
by

1 Answer

Answer :

(b) Rs 606
by

Related questions

Which of the following statements is/are correct? 1. A materials requisition note is used to record the issue of direct material to a specific job. 2. A typical job cost will contain actual costs for material, labour and production overheads, and non –production overheads are often added as a percentage of total production cost 3. The job costing method can be applied in costing batches (a) (1) only (b) (1) and (2) only (c) (1) and (3) only (d) (2) and (3) only

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Last Answer : (c) (1) and (3) only

Calculate the prime cost from the following information: Direct material purchased: Rs. 1,00,000 Direct material consumed: Rs. 90,000 Direct labour: Rs. 60,000 Direct expenses: Rs. 20,000 Manufacturing overheads: Rs. 30,000 (a) Rs. 1,80,000 (b) Rs. 2,00,000 (c) Rs. 1,70,000 (d) Rs. 2,10,000

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The ratio of the cost price of product A to that of B is 5:7. product A was sold at a profit of 80% and product B was sold at a profit of 20%. If the total profit earned after selling both the (products A and B is Rs 296) what is the difference between the cost prices of product A and B?

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A person sold an item for Rs. 14280 after giving 15% discount on the labelled price and earned 19% profit on the cost price. What would have been the percentage profit, had he not given the discount? a) 30% b) 34% c) 40% d) 42.5% e) None of these

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