1.1 REQUIRED Calculate the hourly recovery tariff for K. Ntuli from the information provided below. (4 marks)...
Question:
1.1 | REQUIRED | |
Calculate the hourly recovery tariff for K. Ntuli from the information provided below. | (4 marks) | |
INFORMATION | ||
The annual basic salary of K. Ntuli is R324 000. She is entitled to an annual bonus of R27 540. Her employer contributes 7.5% of her basic salary to her pension fund. Her normal working week comprises 45 hours (9 hours per day from Monday to Friday). She is entitled to 28 consecutive days paid vacation leave. There are 13 public holidays in the year (365 days), 8 of which fall on weekdays. |
1.2 | REQUIRED | |||
Use the information provided below to calculate the total remuneration of each of the three employees (on the first day of June 2017) using Taylor’s differential piecework system. | (4 marks) | |||
INFORMATION | ||||
Rambo Ltd uses Taylor’s differential piecework system to remunerate employees. The following information was extracted from its records on the first day of June 2017: | ||||
Standard production | 180 units per hour | |||
Standard hours per day | 9 hours | |||
Normal wage rate | R90 per hour | |||
Premium | 90% of piecework rate if below standard; 110% of piecework rate if standard or above standard | |||
Production of employees: | ||||
Mary | 1 500 units | |||
Jill | 1 620 units | |||
Ann | 1 980 units | |||
1.3 | Use the table and information below to determine the the value of issues between 01 and 15 June 2017 and the value of inventory on 15 June 2017 using the: | |
1.3.1 | First-in-first-out method. | (4 marks) |
1.3.2 | Weighted average cost method. | (4 marks) |
Purchases | Issues and returns | Balance | |||||||
Date | Quantity | Price | Amount | Quantity | Price | Amount | Quantity | Price | Amount |
INFORMATION | |||||
Hero Manufacturers made the following material purchases, returns to supplier and issue to production during the first half of June 2017: | |||||
June | Units | Price | |||
Inventory | 01 | 1 400 | R3.00 | ||
Purchases | 07 | 600 | R4.00 | ||
Purchases | 11 | 3 000 | R5.00 | ||
Return (see 11th) | 12 | 1 000 | ? | ||
Issue | 15 | 3 500 | ? |
1.4 | REQUIRED | |
Use the information provided below to calculate the number of orders that should be placed, based on the annual economic order quantity. | (4 marks) | |
INFORMATION | ||
Maxwell Limited manufactures a product which has a steady monthly demand of 12 000 units. The product requires a component that is purchased from a supplier at R30 per unit. The ordering cost is R1.80 per order. The holding cost is 10% of the unit purchase price. |
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill