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Percentages

Forums › ACCA Forums › ACCA MA Management Accounting Forums › Percentages

  • This topic has 0 replies, 1 voice, and was last updated 11 years ago by godze26.
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  • November 27, 2013 at 6:49 pm #148112
    godze26
    Member
    • Topics: 2
    • Replies: 1
    • ☆

    Hi

    How do you determine the format of using percentage in a question. For example in some questions you see where like the format used is 115/100 or 100/85 or as is as 15/100.

    This question i was doing from a question bank for the F2 exam stated:
    A unit of product L requires 9 active labour hours for completion. The performance standard for product L allows for ten percent of total time to be idle, due to machine downtime. The standard wage rate is $9 per hour. What is the standard labour cost per unit of L.

    The answer read
    9 hours * 100/90 * $9 = $90.

    I find it a bit confusing at times.

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