Mr Ahuja runs a tempo service in the town and has two vehicles. He furnishes you the
Question:
Mr Ahuja runs a tempo service in the town and has two vehicles. He furnishes you the following data from which you are to compute the cost per running mile.
Charge interest at 10 per cent per annum on the cost of vehicle. The vehicles run 20 kms. per hour on an average.
Transcribed Image Text:
Particulars Vehicle A Vehicle B Cost of vehicle 5,00,000 Road licence per year 7,000 Supervision and salary (yearly) 66,000 *3,00,000 7,500 48,000 Driver's wages per hour 40 40 Cost of fuel per litre 42 42 Repairs and maintenance per mile 3.0 4.0 Tyre cost per mile 2.00 2.00 Garage rent per year 18,000 10,000 Insurance premium yearly 9,000 7,000 Km run per litre 6 5 Km run during the year 15,000 6,000 Estimated life of vehicles (kms) 1,00,000 75,000
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Management Accounting Text Problems And Cases
ISBN: 9781259026683
6th Edition
Authors: M Y Khan, P K Jain
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