Railways Technical Ability Production Engineering and Planning Question Bank Production Planning

  • question_answer A factory is producing 100 bolts and nuts per hour on a machine. Its material cost is Rs. 375, labour cost is Rs. 245 and the direct expense is Rs. 80. The factory on cost is 150% of the total labour cost. What is the total factory cost?

    A) Rs. 1067.50                  

    B) Rs. 367.50

    C) Rs. 320.25                    

    D) Rs. 1387.75.

    Correct Answer: A

    Solution :

    Total factory cost = Material cost + Labour cost+ Direct expenses + on cost \[=3.75+245+80+1.5\times 245\]

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