the following annual charges are incurred in respect of a machine in a shop where ma 559083

The following annual charges are incurred in respect of a machine in a shop where manual labour is almost nil and work is done by means of five machines of exactly same type of specification.

Rent and rates (proportional to the floor space) for the shop

Rs 6,000

Depreciation on each machine

1,000

Repairs and maintenance for the five machines

1,200

Power consumed (as per meter) at 5 paise per unit for the shop

Rs 3,000

Electric charges for lights used in the shop

Rs 600

Attendants: There are two attendants for the five machines and they are each paid Rs 80 per month

Supervision: For the five machines in the shop there is one supervisor whose emoluments are Rs 300 per month

Sundry supplies for the shop

Rs 500

Hire purchase installments payable for the machine (including Rs 300 as interest)

Rs 1,200

The machine uses 10 units of power per hour. Calculate the MHR for the machine for the year.

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