Cost and Revenues practice assessment (Bonus pay)  Help needed!
nrc_1994
Registered Posts: 9
Hello everybody.
I am struggling with the Labour cost (bonus pay). I am doing the practice assessment through Osborne books tutor zone and can't still get the correct answer for the bonus pay.
They say on the assessment:
"A bonus is paid where production is completed faster than the time allowed; the bonus is paid at half of the time rate for production time saved."
I'll give you one of the employee:
G.Kalsi  time rate £15.00 per hour  hours worked 38  time allowed (output per hour) 25 units  actual production 1,050 units.
I got the answer right on the time rate but didn't get the correct answer for bonus pay. Can anybody explains me how to calculation the bonus pay and I would be appreciate it!
Thanks
I am struggling with the Labour cost (bonus pay). I am doing the practice assessment through Osborne books tutor zone and can't still get the correct answer for the bonus pay.
They say on the assessment:
"A bonus is paid where production is completed faster than the time allowed; the bonus is paid at half of the time rate for production time saved."
I'll give you one of the employee:
G.Kalsi  time rate £15.00 per hour  hours worked 38  time allowed (output per hour) 25 units  actual production 1,050 units.
I got the answer right on the time rate but didn't get the correct answer for bonus pay. Can anybody explains me how to calculation the bonus pay and I would be appreciate it!
Thanks
0
Comments

Hello,
Thanks for explaining me about the bonus pay. I am totally understand what you are saying about this.
Unfortunately, I got the answer sheet here saying it is £30 bonus pay and you say its £90 bonus pay?
Thanks again0 
Hi Shamil,
Don't worry about the answer you put it on earlier! So I got the answer for each employees' bonus pay now.
Cheers for the explanation and my exam is due next week!
Thanks, Nathan0 
Yes of course, I will read it properly. Yes the answer is correct now and I got the clear explanation from you. Cheers for the help!
Thanks, Nathan0
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