budgeting help again!!!

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
could someone help me out with this question.<BR><BR>question<BR><BR>the company has a production workforce of 400 employess. the basic weekly wage per employee is £180 for a 36 hour week. Any overtime is paid at a rate of £8 per hour.<BR><BR>Each unit takes 4 hours to make and the workforce operates at an efficiency level of 80%.<BR><BR>For periods 1 to 3 prepare:<BR><BR>the labour budget in hours highlighting any overtime hours required.<BR><BR>the labour cost budget including the cost of any overtime.<BR><BR>production for periods:<BR><BR>period 1 period 2 period 3<BR>12,150 12,750 13,110<BR><BR>many thanks if anyone can help me<BR><BR>sebula<BR>

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  • System
    System Posts: 100,534 🤖 Admin 🤖
    budgeting help again!!!

    could you let me know if the unit of period of budget is weekly, monthly???, basically the ration indicated that the workforce does not work efficiently for all the 36 hours per employee ( Idle time- time spent doing nothing productive). it means that if they have to work 4 hours for a unit, they will have to use an extra 20% of that time to be able to complete 1 unit.<BR>With that you can compute the budget.<BR>

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