Help with ECR June 2008 paper
debbieh
Registered Posts: 17 Dedicated contributor ? ? ?
Can anyone help with Section 2 Task 2.4 Contribution/unit price is £1.03
How do you work out the material hours/unit, and Contribution/machine hour£
I got the answer of 0.20 and £5.15 but how?
Many Thanks
How do you work out the material hours/unit, and Contribution/machine hour£
I got the answer of 0.20 and £5.15 but how?
Many Thanks
0
Comments

Take machine hours per units made and sold, divide hours into number of units, that gives you no. of hours per uint.
you then take your answer for contirbuion/unit and divide your macine hours into it.0 
Thanks, I haven't touched this paper since 2006 when I passed the first section failed the 2nd, December exam will be 3rd time lucky.0

Hi,
I'm stuck on the same section  it may seem really stupid, but how you work out how many machine hours to allocate to each product? I've been staring at it for ages now.....I know the answers are 30,000 for Product A and 40,000 for Product B, but how do you get there?Any help would be really appreciated.0 
Product..................................A........B
Contribution/unit (£)...............1.03.....0.62
Machine hours/unit...............£0.20.....0.08
Contribution/machine hr. (£)....5.15.....7.75
The above is from the AAT June 08 Model Answer
Shown below is the understanding and workings
Unit A takes 0.2 Machine Hour to make. So many units of Unit A can be made in 1 Machine hour
1 divide by 0.2 = 5 units
Contribution per unit A = 1.03 therefore for 5 unit = 1.03 times 5 = £5.15 per machine hour
Unit B takes 0.08 Machine Hour to make. So many units of Unit B can be made in 1 Machine hour
1 divide by 0.08 = 12.5 units
Contribution per unit A = 0.62 therefore for 12.5 unit = 0.62 times 12.5 = £7.75 per machine hour0 
0

Thanks very much Visha0

Take machine hours per units made and sold, divide hours into number of units, that gives you no. of hours per uint.
you then take your answer for contirbuion/unit and divide your macine hours into it.
Reply With Quote
Which figure for machine hours from task 2.2, do you divide hours into number of units, to give you machine hours/unit figure to get the answer 0.20
Thanks0
Categories
 All Categories
 1.2K Books to buy and sell
 2.3K General discussion
 18.9K For AAT students
 251 NEW! Qualifications 2022
 139 General Qualifications 2022 discussion
 8 AAT Level 2 Certificate in Accounting
 35 AAT Level 3 Diploma in Accounting
 59 AAT Level 4 Diploma in Professional Accounting
 8.9K For accounting professionals
 23 coronavirus (Covid19)
 274 VAT
 92 Software
 274 Tax
 137 Bookkeeping
 7.3K General accounting discussion
 193 AAT member discussion (AATQB, MAAT, FMAAT and AAT Licensed Accountants and Bookkeepers)
 3.8K For everyone
 39 AAT news and announcements
 352 Feedback for AAT
 2.8K Chat and offtopic discussion
 589 Job postings
 17 Who can benefit from AAT?
 36 Where can AAT take me?
 44 Getting started with AAT
 26 Finding an AAT training provider
 48 Distance learning and other ways to study AAT
 25 Apprenticeships
 65 AAT membership