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revision mock question

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › revision mock question

  • This topic has 3 replies, 3 voices, and was last updated 11 years ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • November 17, 2014 at 7:57 am #210603
    flotamlambo
    Member
    • Topics: 1
    • Replies: 1
    • ☆

    The cost card per unit is as follows
    $
    Materials 9
    Labour(1hour) 6
    Other production costs 8

    The selling price is $30per unit and each unit requires 6minutes of machine time.Machine time is the bottelneck resource.

    What is the return/factory hour in throughput accounting environment

    November 17, 2014 at 8:52 am #210613
    maas
    Member
    • Topics: 14
    • Replies: 14
    • ☆

    Is the answer $210

    November 17, 2014 at 8:56 am #210616
    flotamlambo
    Member
    • Topics: 1
    • Replies: 1
    • ☆

    how do i calculate it

    November 17, 2014 at 10:06 am #210648
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54831
    • ☆☆☆☆☆

    The throughput is 30 – 9 = 21 per unit.

    The hours per unit are 6/60 = 0.1 hours

    So the return per factory hour (or throughput per hour) is 21 / 0.1 = $210

    (I suggest that you watch the free lecture on throughput accounting!)

  • Author
    Posts
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