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Service

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA BT – FIA FBT › Service

  • This topic has 1 reply, 2 voices, and was last updated 1 month ago by Ken Garrett.
Viewing 2 posts - 1 through 2 (of 2 total)
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    Posts
  • January 17, 2021 at 5:45 am #606144
    WillyBilly
    • Topics: 9
    • Replies: 0
    • ☆

    PQR Co is a company selling, installing and servicing air-conditioning units. Service customers are charged a rate for each hour PQR Co staff spend at their premises
    Which TWO of the following should be considered in determining the ‘charge-out’ rate per hour?
    A)Number of hours the job will take
    B)Service staff overhead costs
    C)Manufacturing cost of the air-conditioning units
    D)Hourly wage
    For me A and D but i am thinking about B also Can you help me

    January 17, 2021 at 8:46 am #606152
    Ken Garrett
    Keymaster
    • Topics: 9
    • Replies: 9047
    • ☆☆☆☆☆

    A – nothing to do with $ rates. The time will be applied to the rates.
    B – yes, these have to be recovered in the charge out rate
    C – this is material not labour
    D – Yes. This is very relevant.

    Now, I have two questions for you:

    1 You seem to be posting requests under three different names (WillyBilly, Tohir and Root1999) as the IP addresses are identical and the questions are phrased similarly. Why are you doing that?

    2 Where are these questions from and why are answers not available from that source?

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