Ecr dec 09

flowerflower Well-KnownPosts: 160Registered
Question 1.3. Can anyone tell me how the bonus is worked out at £8.75 and Total Group bonus £4375. I cannot see where in the question it tells you how many employees there are in the group.

Comments

  • SandyHoodSandyHood Font Of All Knowledge Posts: 2,034Registered, Moderator
    Can you see the excess production (over and above the standard output for 800 x 5,000 hours)?
    Divide this figure by the standard output to get a decimal
    Multiply the answer by 25%

    Then multiply your % by £10 to get an hourly rate

    Then multiply by the hours worked

    I cannot see where in the question it tells you how many employees there are in the group, but I didn't need that information.

    We've done a lot of practice on this topic as it was featured in Accounting Technician in May 2009. See the examiner's article (the pdf one has the examples so is better than the text only version)
    Sandy
    [email protected]
    www.sandyhood.com
  • flowerflower Well-Known Posts: 160Registered
    Thanks for that Sandy
  • flowerflower Well-Known Posts: 160Registered
    Still struggling with this one. Excess 1,400,000/5,400,000 gives me 0.259/25% is giving me 0.0648. Can you advise where I am going wrong. Thanks
  • flowerflower Well-Known Posts: 160Registered
    I have worked it out now.
    Thank you.
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