A manufacturing unit has added a new machine to its fleet of five existing machines. The total cost of purchase and installation of the machine is ₹7,50,000. The machine has an estimated life of 5 years and is expected to realise ₹30,000 as scrap at the end of its working-life.

Other relevant data are as follows:

(i) Budgeted working-hours is 2,400 based on 8 hours per day for 300 days. This includes 400 hours for plant maintenance.

(ii) Power used by the machine is 5 units per hour at a cost of ₹6 per unit. No current is drawn during maintenance.
(iii) The machine requires special oil for heating which is replaced once in every month at a cost of ₹2,500 on each occasion.
(iv) Estimated cost of maintenance of the machine is ₹1,000 per week of 6 working days.
(v) 3 operators control the operations of the entire battery of six machines and the average wages per person amounts to ₹4,500 per week plus 40 per cent fringe benefits.
(vi) Departmental and general works overheads allocated to the operation during the last year was ₹6,00,000. During the current year, it is estimated that there will be an increase of 12.5 per cent of this amount. No incremental overhead is envisaged for the installation of the new machine.
You are required to compute the machine-hour rate for recovery of the running cost of the machine.