Other
MAC 2601 ASSIGNMENT 2 SEMESTER 1 2021 - ANSWERS
- Course
- Institution
MAC 2601 ASSIGNMENT 2 SEMESTER 1 2021 - ANSWERS
[Show more]
7 reviews
By: usihlengileshandu • 3 year ago
By: kgothatsosmasemola • 3 year ago
By: sbongilemazibuko • 3 year ago
By: tjamagift76 • 3 year ago
By: elzaanventer19 • 3 year ago
By: ratlhogo101 • 3 year ago
By: kanyanejessica • 3 year ago
Seller
Follow
HusainSurti
Reviews received
Content preview
MAC 2601ASSIGNMENT 2 SEMETER 1 2021
UNIQUE NUMBER: 759659
This document is to be used only for comparison
purposes.
Do not distribute, duplicate or submit this document.
, QUESTION 1
a) Calculate total actual material costs, including total ordering and total carrying
costs for the 2021 at EOQ.
Total inventory cost = ordering cost + carrying costs
Total inventory cost = 1 284.69 + 1 284.36 = 2 569.05
Calc:
EOQ = √2*D*0/H
EOQ = √2*100000*25/1.10+0.12 = 1964 units
Total ordering cost = 100 000/1946 x 25 = 1284.69
Total carrying cost = 1946/2 x (1.10 + 0.12) = 1284.36
b) Calculate total labour costs.
Normal wages (5x45x48x50) 540 000.00
Overtime pay
4 employees (20x4x50x2.5) 10 000.00
1 employee(25x50x2.5) 3 125.00
GROSS RENUMERATION 553 125.00
Pension fund contribution(9%x540 000) 48 600.00
UIF(1%x553 125) 5 531.25
Medical aid 42 743.75
TOTAL COST TO COMPANY 650 000.00
c) Determine the manufacturing overhead recovery rates for both Division Apple
and Division Banana.
OAR = Total budgeted overheads / budgeted machine hours
OAR(Apple) = 1 390 250/25 000 = R55.61/hr
OAR(Banana) = 1 289 750/30 000 = R42.99/hr
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller HusainSurti. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $2.85. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
75759 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now