UNIT - I

INTRODUCTION TO PROCESS PLANNING

1. The inputs for developing process plan given by Industrial Engineering are
(a) Route sheet and Operation list
(b) SPC data and capability index
(c) Process charts and standard times
(d) Machine tool data
2. ________________ provides a valuable interface between the design and
manufacturing functions, and also the first stage in manufacturing.
(a) MRP
(b) PPC
(c) Process Planning
(d) SPC
3. A statement of constraints or conditions that the product design must adhere to and it
controls the design and manufacture of a product is
(a) Manufacturing Information System
(b) Manufacturing Resources Planning
(c) Product Design Specification
(d) Product Scheduling Sequence
4. ___________________ formally states the customer needs and quantify many of the
aspects of the product design.
(a) Manufacturing Information System
(b) Manufacturing Resources Planning
(c) Product Scheduling Sequence
(d) Product Design Specification
5. The contents of _____________________ will include in - use purposes & market,
functional requirements, corporate constraints and social, political and legal
requirements.
(a) Product Design Specification
(b) Manufacturing Resources Planning
(c) Product Scheduling Sequence
(d) Materials Requirement Plan
6. __________________ comprises the selection and sequencing of processes and
operations to transform a chosen raw material into a finished component.
(a) Manufacturing Information Planning
(b) Manufacturing Resources Planning
(c) Production Planning
(d) Process Planning
7. __________________ is the act of preparing detailed work instructions to produce a
component which includes the selection of manufacturing processes and operations,
production equipment, tooling and jigs & fixtures.
(a) Manufacturing Information Planning
(b) Manufacturing Resources Planning
(c) Process Planning
(d) Production Planning
8. __________________ determines manufacturing parameters and specifying criteria
for the selection of quality assurance methods to ensure product quality.
(a) Production Planning
(b) Process Planning
(c) Manufacturing Information Planning
(d) Manufacturing Resources Planning
9. The outputs of process planning are
(a) Route sheet and Operation list
(b) SPC data and capability index
(c) Process charts and standard times
(d) Machine tool data
10. The disadvantages of manual process planning are
(a) Excessive clerical content
(b) Lack of consistency in planning
(c) Late design modifications & Changing Technology
(d) All of the Above
11. The types of CAPP systems are
(a) Variables and Attributes
(b) Variant and Attributes
(c) Retrieval and Generative
(d) Variables and Generative
12. _______________________ helps in determining critical processing factors and
identifying the candidate manufacturing process.
(a) Manufacturing Resources Planning
(b) Manufacturing Information Systems
(c) Drawing Interpretation
(d) Product Scheduling Sequence
13. Standard parts such as nuts, bolts, washers etc., are specified in
(a) Collective assembly drawing
(b) Collective single drawing
(c) Combined drawing
(d) Arrangement drawing
14. A drawing which shows a number of products that are assembled from the same or
similar parts, the resultant assemblies only differing slightly from each other are
specified in
(a) Collective assembly drawing
(b) Collective single drawing
(c) Combined drawing
(d) Arrangement drawing
15. The drawing without dimensions is
(a) Combined drawing
(b) Detail drawing
(c) Arrangement drawing
(d) Single part drawing
16. The supplementary information in a drawing are
(a) Functional dimensions, Non-functional parts and Auxiliary dimensions
 (b) Company name, Scale and Projection symbol
(c) Surface finish, Geometrical tolerance and Dimensional tolerances
(d) Bill of materials, Quantity and Material specifications
17. The purpose of drawing interpretation is to identify
(a) Manufacturing process factors
(b) Finishing process factors
(c) Critical processing factors
(d) Special processing factors
18. Fasteners such as keys and pins are examples of
(a) Clearance fit
(b) Interference fit
(c) Transition fit
(d) Precision fit
19. If Φ50 H8/f7 is representing hole based system, H8 and f7 means
(a) Upper control limit and lower control limit
(b) Upper tolerance and lower tolerance
(c) Shaft deviation and hole deviation
(d) Hole deviation and shaft deviation

20. is an
(a) basic tolerance frame for geometric tolerances
(b) basic picture frame for dimensional tolerances
(c) basic tolerance frame for surface finish
(d) None of the above
21. Geometrical tolerances representing the ovality, bumpiness and waviness of a surface
are
(a) Symmetry, concentricity and squareness
(b) Angularity, cylindricity and parallelism
(c) Roundness, flatness and straightness
(d) Circularity, perpendicularity and position
22. Geometrical tolerances representing both the ovality and bumpiness of a surface is
(a) Roundness
(b) Cylindricity
(c) Symmetry
(d) Circularity
23. All manufacturing processes have an inherent ability to produce a range of surface
finishes, sometimes also referred to as
(a) Flatness
(b) Squareness
(c) Parallelism
(d) Surface roughness
24. The three basic surface irregularities are
(a) Form geometry, roughness and waviness
(b) Ovality, bumpiness and waviness
(c) Form geometry, ovality and waviness
(d) Roughness, bumpiness and waviness
25. The surface roughness value for N9 is
(a) 250 µm
(b) 6.3 µm
(c) 0.1 µm
(d) 0.0125 µm

26. is the basic machining symbol in which alphabets represents

(a) a – production method, b – sampling length, c – direction of lay
(b) b – direction of lay, c – sampling length, d – minimum material removal
(c) c – roughness value, d – production method, e – sampling length
(d) d – direction of lay, a – roughness value, b – production method

27. are different machining symbols which represents

(a) Machining optional, Machining allowed and Machining not allowed
(b) Machiningnot allowed, Machining allowed and Machining optional
(c) Machining allowed, Machining not allowed and Machining optional
(d) Machining allowed, Machining optional and Machining not allowed
28. The three distinct analysis in drawing interpretation are
(a) Method study, Work measurement and Ergonomics
(b) Material selection, Equipment selection and Tooling selection
(c) Geometry analysis, Manufacturing information analysis and Material
evaluation
(d) Material Requirement Planning, Manufacturing Resource Planning and
Master Production Schedule
29. __________________ are functionally similar to the original parts yet are
competitively priced against the market.
(a) Equivalent Parts
(b) Standard Parts
(c) Assembly Parts
(d) Spare Parts
30. Modern Manufacturing is based on three major concepts, which are
(a) Portability, Scheduling and Sequencing
(b) Manufacturability, Workability and Productivity
(c) Mass Manufacture, Interchangeability and Standardization
(d) Product Planning, Process Planning and Production Planning
31. ______________________ refers to the ability to select components for assembly at
random and fit them together within proper tolerances.
(a) Manufacturability
(b) Workability
(c) Processability
 (d) Interchangeability
32. _________________________ is about making parts as near to identical as possible
to allow them to function identically within a sub-assembly or assembly.
(a) Mass Manufacture
(b) Interchangeable Manufacture
(c) Batch Manufacture
(d) Job Manufacture
33. _______________________ means producing maximum variety of products from the
minimum variety of materials, parts, tools and processes. It is the process of
establishing standards or units of measure by which extent, quality, quantity, value,
performance etc., may be compared and measured.
(a) Specialisation
(b) Productivity
(c) Standardization
(d) Interchangeability
34. The maximum and minimum size are both on the same side of the basic value, i.e., on
one direction, is known as
(a) Unilateral Tolerance
(b) Bilateral Tolerance
(c) Trilateral Tolerance
(d) Quadrilateral Tolerance
35. The maximum and minimum size are not on the same side of the basic value, i.e.,
both over or under the basic size, is known as
(a) Unilateral Tolerance
(b) Bilateral Tolerance
(c) Trilateral Tolerance
(d) Quadrilateral Tolerance
36. The ability of a material to be worked or shaped into the finished component is
(a) Manufacturability
(b) Workability
(c) Processability
(d) All of the above
37. Two useful tools in identifying candidate processes are the
(a) Geometry table and PRIMA matrix
(b) Tools table and Geometry Table
(c) Tools Table and PRIMA matrix
(d) None of the above
38. Work holders, Jigs & Fixtures are also known as ______________________ whereas
cutting tools are known as
(a) Special Tooling, Regular Tooling
(b) Consumable tooling, Durable Tooling
(c) Durable tooling, Consumable Tooling
(d) Regular Tooling, Special Tooling
39. _____________________________ can be broken down into three types, namely
cutting, abrasive and non - traditional processes.
(a) Production Process
 (b) Manufacturing Process
(c) Machining Process
(d) None of the above
40. The cutting processes where the tool translates are
(a) Shaping, Planing and Broaching
(b) Drilling, Milling, Boring and Turning
(c) Grinding, Honing, Lapping and Polishing
(d) None of the above
41. The cutting processes where the tool and/or workpiece rotates are
(a) Shaping, Planing and Broaching
(b) Drilling, Milling, Boring and Turning
(c) Grinding, Honing, Lapping and Polishing
(d) None of the above
42. The abrasive processes used to improve the surface finish are
(a) Shaping, Planing and Broaching
(b) Drilling, Milling, Boring and Turning
(c) Grinding, Honing, Lapping and Polishing
(d) None of the above
43. The abrasive process used to improve the surface finish of internal cylindrical
surfaces and for removing edges on cutting tools is
(a) Grinding
(b) Honing
(c) Lapping and
(d) Polishing
44. The abrasive process used to improve the surface finish on external cylindrical and
flat surfaces is
(a) Grinding
(b) Honing
(c) Lapping
(d) Polishing
45. Operating constraints, operating requirements and tool performance factors are the
factors to be considered in
(a) Material evaluation
(b) Tooling selection
(c) Equipment selection
(d) Process selection
 UNIT - II
PROCESS PLANNING ACTIVITIES
1. ________________________ along with non - value added tasks, enables to compile
the total time taken for the job.
(a) Manufacturing parameters
(b) Process parameters
(c) Critical processing factors
(d) Critical machining factors
2. Speed, feed, depth of cut and machining time are referred to as
(e) Manufacturing parameters
(f) Process parameters
(g) Critical processing factors
(h) Critical machining factors
3. The feed rate at which the grinding wheel traverses across the workpiece while the
table provides the pass or stroke motion is known as
(a) Forward feed
(b) Reverse feed
(c) Angular feed
(d) Cross feed
4. Maximum depth of cut for the milling is
(a) half the cutter diameter, up to 8 mm
(b) half the cutter diameter, up to 10 mm
(c) cutter diameter, up to 16 mm
(d) cutter diameter, up to 20 mm
5. Machining time formulas for the surface grinding and cylindrical grinding are same as
for
(a) Milling and Drilling & Boring
(b) Milling and Turning & Boring
(c) Broaching and Shaping &Planing
(d) Broaching and Drilling & Boring
6. General work holding devices such as vices, chucks, clamps and abutments, collets,
centres, mandrels and face plates are referred to as
(a) Clamping devices
(b) Locating devices
(c) High cost jigs and fixtures
(d) Low cost jigs and fixtures
7. The main function of a _________ is to positively locate the workpiece, unlike a
_________, no guidance is provided for cutting tools.
(a) Jigs, Fixtures
(b) Fixtures, Jigs
(c) Centres, Chucks
(d) Chucks, Centres
8. The type of variation that causes a process to be statistically out of control is
(a) Chance causes
(b) Variable causes
(c) Attribute causes
 (d) Assignable causes
9. SQC tools and techniques used for identifying the process problems are
(a) Process flow charts and Control charts
(b) Check sheets/Tally sheets
(c) Histograms and Pareto analysis
(d) Scatter diagrams and Cause & Effect Diagrams
10. A ___________ can be defined as a unit that fails due to one or more non-conforming
characteristics whereas a_________ can be defined as a non-conforming
characteristic of a unit.
(a) Defect, Defective
(b) Defective, Defect
(c) Variables, Attributes
(d) Attributes, Variables
11. The ______ chart is similar to the______ chart except that it counts defects as
opposed to defectives.
(a) p, np
(b) c, u
(c) c, np
(d) p, u
12. ____________ focuses on the prevention of errors that can cause non-conforming
products to be manufactured.
(a) Quality management systems
(b) Quality control
(c) Quality assurance
(d) Quality circles
13. ______________ is the set of operations and activities focused on fulfilling quality
requirements. ____________ is the planned and systematic actions focused on
providing confidence that quality requirements will be fulfilled.
(a) Quality assurance, Quality control
(b) Quality control, Quality assurance
(c) Quality circles, Quality management systems
(d) Quality management systems, Quality circles
14. Examples where we can use control charts for attributes are
(a) Surface finish
(b) Surface imperfections
(c) Before processing
(d) During processing
15. _______________ is used to prevent the special causes of variation.
(a) Acceptance sampling
(b) Work Sampling
(c) Statistical Process Control
(d) Methods Time Measurement
16. ---------------------- is an example for special causes of variation.
(a) Poor Methods & Poor Supervision
(b) Poor Workstation design & Poor Training
(c) Poor Equipment & Improper Workmanship
 (d) Dirty Machine & Machine setting drift
17. --------------------- are used to machine features that are evenly spaced such as gears,
splines and/or keyways.
(a) Indexing fixtures
(b) Angle plate fixtures
(c) Vice jaw fixtures
(d) Plate fixtures
18. --------------------- are generally used for machining small work pieces.
(a) Indexing fixtures
(b) Angle plate fixtures
(c) Vice jaw fixtures
(d) Plate fixtures
19. --------------------- is used with many machining processes due to its simplicity and
adaptability.
(a) Indexing fixtures
(b) Angle plate fixtures
(c) Vice jaw fixtures
(d) Plate fixtures
20. Routing sheet specifies the route followed by the raw material in the manufacturing
environment, usually lists the
(a) Materials Specification and Production Equipment
(b) Production Equipment and Tooling
(c) Tooling and Surface Finishing Parameters
(d) Process Parameters and Critical Processing Factors
21. _____________ include details of tooling (including work holding devices), feeds and
speeds, set-up and operation times.
a) Route sheet
b) Operations list
c) Check sheet
d) all the above
22. The ___________________________ are the main inputs to the manufacturing
scheduling along with the materials requirement planning (MRP) outputs.
(a) Outputs of MIS
(b) Outputs of MPS
(c) Outputs of Process Planning
(d) Outputs of Production Planning
23. ________________________ is primarily concerned with the "when" and "how
many" decisions of manufacturing.
(a) Manufacturing Scheduling
(b) Manufacturing Sequencing
(c) Manufacturing Resources Planning
(d) Materials Requirement Planning
24. _____________________ can be reduced to improve surface finish or increased for
roughing cuts.
(a) Spindle Speed
(b) Feed rate
 (c) Depth of cut
(d) Machining time
25. _____________________ can be increased to improve surface finish or reduced for
roughing cuts.
(a) Spindle Speed
(b) Feed rate
(c) Depth of cut
(d) Machining time
26. The magnitude and direction of the ____________________ will influence the
location and clamping of the workpiece in the workholder.
(a) Cutting Speed
(b) Cutting Forces
(c) Spindle Speed
(d) None of the above
27. The _____________________ should be designed to minimise the distance travelled
by the cutting tool between operations.
(a) Workpiece
(b) Spindle
(c) Workholder
(d) Clamping & Fixing device
28. Workpiece - cutting tool relationship is ensuring the workpiece is supported
appropriately with reference to the point of application of
(a) Spindle Speed
(b) Feed rate
(c) Depth of cut
(d) Cutting force

29. is a formula used for Total cost of Manufacture where

C, Q and U represents
(a) C - Carrying Cost, Q - Batch Size and U - Unit cost of manufacture
(b) C - Capital Cost, Q - Batch Size and U - Unit cost of manufacture
(c) C - Setup Cost, Q - Batch Size and U - Unit cost of manufacture
(d) C - Setup Cost, Q - Quality Cost and U - Unit cost of manufacture
30. Unit cost of manufacture is
(a) Direct Labour + Direct Materials per unit
(b) Indirect Labour + Indirect Materials per unit
(c) Overheads per unit
(d) Setup cost per unit
31. Break Even Point is also called as
(a) More Profit Less Loss Point
(b) No Profit - No Loss Point
(c) More Loss Less Profit Point
(d) None of the Above
32. In Break Even point, ________________ = _____________________
 (a) Sales Volume = Sales Cost
(b) Total Volume = Total Cost
(c) Sales Volume = Total Cost
(d) Total Volume = Sales Cost
33. The simplest and clearest way of relating cost, volume and profit is through the use of
a ___________________.
a) Gannt chart
b) histogram
c) Break-even chart
d) flow process chart

34. is the formula used for calculating the break even

quantity for various methods like______________________
(a) Turning, Drilling and Boring
(b) Shaping, Planing and Milling
(c) Grinding, Honing and Lapping
(d) Fabricating, Casting, Moulding etc.,
35. __________________ involve processes and operations that are critical to ensure
product integrity and quality.
a) Must-buy items
b) both must buy and make items
c) Must-make items
d) None of these
 UNIT - III
INTRODUCTION TO COST ESTIMATION
1. ________________ leads to increase the cost& hence tenders may not get suitable
response.
a) Over – estimating
b) under – estimating
c) Standard estimating
d) preliminary cost estimating
2. ____________ is the process of determining the anticipated cost of a product before
the manufacturing is started.
a) Costing
b) Cost accounting
c) Estimating
d) All the above
3. _________________ determines the cost of each product the manufacturer makes &
then fixes the selling price so as to make a definite profit.
a) Estimating
b) Cost accounting
c) Total cost
d) Maximum retail price
4. ____________ is adopted by the firms, which supply a uniform product rather than a
variety of products such as mines, quarries etc.,
a) Order costing
b) Unit costing
c) Batch costing
d) Costing

5. ______________ is a predetermined or budgeted cost of a unit of a product and helps

in comparing with the actual cost.
a) Estimated cost
b) Costing
c) Standard cost
d) all the above
6. _______________ are important factors to be considered in evaluating the
unproductive time related to product, must necessarily considered for calculating
production cost.
a) Overheads
b) Time Allowances
c) Personal allowance
d) Miscellaneous allowance
7. ____________ is independent of the number of jobs to be produced.
a) Machine hour rate
b) Operation time
c) Setup time
 d) all the above
8. ____________ is the time counted from when the last element of operation has been
completed.
a) Operation time
b) Setup time
c) Tear down time
d) None of these
9. ______________ include the expenditure which cannot be definitely charged to a
particular product during production.
a) Overhead cost
b) Direct cost
c) Material cost
d) Labour cost
10. _____________ is the depreciation of existing machinery or asset due to new and
better innovation or design of equipment or process etc.,
a) Obsolescence
b) Wear and tear
c) Physical decay
d) all the above
11. A foundry department of a factory producing water meter body had ₹500000 as total
overheads while the material cost was ₹2500000, calculate the on – cost.
A) 25% of material cost
B) 20% of material cost
C) 50% of material cost
D) 5% of material cost

12. Machinery breakdown, power failure, accidents, strikes, drop in the efficiency of
workers, drop in the efficiency of machines & tools are some of the examples of
______________ in Estimation.
a) Avoidable errors
b) Systematic errors
c) Unavoidable errors
d) None of these
13. Less experience, carelessness & hurry in preparing the estimates leads to
______________ in Estimation.
a) Avoidable errors
b) Unavoidable errors
c) Estimation error
d) None of these
14. ______________ includes time to study drawings, blue prints, to set machines, to
inspect job, setting of gauge etc.
a) Tear down time
b) Setup time
c) Operation time
 d) all the above
15. ______________ is also known as Floor Time.
a) Operation time
b) Tear down time
c) Production time
d) Normal time
16. _______________ generally consume 10 to 15 % of the total time taken.
a) Fatigue allowance
b) Miscellaneous allowances
c) Personal allowance
d) Tool changing and grinding allowance
17. The time consumed in activities like periodic cleaning soiling, getting stocks,
delivering jobs, disposing of scraps and surplus stock etc., is taken as
__________________
a) 15 – 20 % of the operation time
b) 5 % of the total working time
c) 7 % of the total working time
d) 5 - 10 % of the total working time

PART – B
18. The fixed cost for a factory for the year 2019 – 20 was ₹ 15000 and the variable cost
is ₹ 10/ unit produced. The selling price per unit is ₹ 25. Calculate the Break Even
Quantity.
a) 1000 Units
b) 10000 Units
c) 100 Units
d) 200 units

19. Redlands Inc. bought a machine for $100. Redlands estimated that the machine would
last five years and depreciated it on a straight-line basis. The net (book or carrying)
value of the machine at the end of the first year was:
a) $100
b) $80
c) $20
d) $0
20. The fixed costs for the year 2019 – 20 are ₹ 540000, variable cost per unit is
₹30. Each unit sells at ₹ 150. Determine: Break-even point in terms of rupees.
a) Rs.4,500
b) Rs.6,75,000
c) Rs.67,500
d) Rs.45,000
21. Reducing the value of an asset with the time period is called as
 a) Estimation
b) Depreciation
c) Valuation
d) all the above
22. A cast factory employees 30 persons. It consumes material worth Rs.25, 000
pays at the rate of Rs.10per hour and incurs a total overhead of Rs.20, 000. In a
particular month (25 days) workers had an overtime of 150 hours and paid twice the
normal rate. Find the man hour rate of overheads. Assume 8 hours working in a day.

a) Rs.0.30/hr
b) Rs.3.25/hr
c) Rs.3/hr
d) Rs.2.35/hr
23. A manufacturing concern produces 5000 machines/year, if the overheads
during that year are ₹800000. Calculate the overhead cost on each machine.
a) Rs.160/unit
b) Rs.16/unit
c) Rs.0.60/unit
d) Rs.1.60/unit

24.Under the straight line method of providing depreciation it:

a) Increase every year.
b) Remain constant every year.
c) Decreases every year
d) None of them.
25. A certain machine was purchased for Rs.25, 000 and it was presumed it will
last for 20 years. It was also considered that by selling the scrap of the machine, the
residual value will be Rs. 4,000. If the depreciation is charged by diminishing balance
method, find out the depreciation fund at the end of 3rd year.

a) Rs. 6009.18
b) Rs.1823.16
c) Rs. 1997.11
d) Rs.2188.91
26. Which method is used for calculating depreciation of assets like loose tools,
livestock, and laboratory glass wares, patterns, etc., which are not subjected to regular
rates of depreciation and widely used by builders and contractors.

a) Revaluation method of depreciation

b) Retirement method of depreciation
c) Sum of years digit method of depreciation
d) None of the above
27. Which method of depreciation is applicable for such assets whose service life
is very short, say one or two years.
 a) Revaluation method of depreciation
b) Retirement method of depreciation
c) Sum of years digit method of depreciation
d) None of the above
28. The cost which is incurred while the product is manufactured is nothing but
a) Variable cost
b) Total cost
c) Fixed cost
d) None of these
29. __________________allowance is provided when one worker is working on
several machines.
a) Personal
b) Interference
c) Process
d) Contingency
30. Overheads can be allocated based on
a) % of Prime cost
b) % of Material cost
c) % of Labour cost
d) All the above

31. With respect to Final cost estimate ,which is not true

a) It gives complete and accurate cost estimate
b) It consumes a lot of time
c) It is suitable for new product development
d) accurate estimates from complete information about each and every
parts and assemblies
32. A power hacksaw machine was purchased for Rs.25, 000. After five years the
machine was valued at Rs.10, 000. Find out the depreciation amount according to the
sinking fund method, and the rate of interest being 5%.
a) Rs.2714.62
b) Rs.6478.78
c) Rs.2578.35
d) Rs.3257.68

33. The fixed cost for a factory for the year 2019 – 20 was ₹ 15000 and the variable cost
is ₹ 10/ unit produced. The selling price per unit is ₹ 25. Calculate the Break Even
Quantity. BEQ = 1000 UNITS
The fixed costs for the year 2019 – 20 are ₹ 540000, variable cost per unit is ₹30.
Each unit sells at ₹ 150. Determine:
34. Break-even point in terms of (a) physical units & (b) rupees.BEP = 4500 UNITS,
BEP = ₹ 675000
35. If a sales volume of 5000 units has been expected, then what will the profit (or loss)
incurred. PROFIT = ₹ 60000
36. If a profit target of ₹300000 has been budgeted, compute the number of units to be
sold. SALES VOLUME = 7000 UNITS
37. If the company sells 6000 units, calculate the margin of safety & profit.MOS = 25%
PROFIT = ₹ 180000
A certain piece of work is produced by a firm in batches of 100. The direct
materials cost for that 100 piece work is ₹160 & the direct labour cost is ₹200.
Factory on – cost is 35% of the total material & labour cost. Overhead charges are
20% of the factory cost.
38. Calculate prime cost Prime cost = ₹ 360
39. Calculate factory cost. Factory Cost = ₹ 486
40. If the management wants to make a profit of 10% on the gross cost, calculate the
gross cost and selling price. Gross cost = ₹583.20, SP = ₹641.52
41. Determine the selling price of each article. Selling Price of each article = ₹ 6.42
A factory is producing 1000 bolts & nuts per hour on a machine. Its material
cost is ₹375, labour cost is ₹245 & the direct expenses is ₹80. The factor on cost is
150% of the total labour cost & office on cost is 30% of the total factory cost. If the
selling price of each bolt & nut is ₹1.30,
42. Calculate the Factory on – cost & office on – cost. Factory on cost = ₹367.5,Office
on cost = ₹320.25
43. Calculate the Factory cost &Total Product cost. Factory cost = ₹1067.5,
Total Product cost = ₹1387.75,
44. Calculate whether the management is going in loss or gain & by what amount?Loss =
1.30 – 1.39 = ₹0.09 per piece
A small firm is producing 100 pens per day. The direct material cost is found
to be ₹160, direct labour cost is ₹200 and factory overheads chargeable to it are ₹250.
If the selling on cost is 40% of the factory cost,
45. Calculate the Prime cost & Factory Cost. Prime Cost = ₹360, Factory cost = ₹610
46. Calculate the Total cost. Total Cost = ₹854
47. What must be the selling price of each pen to realise a profit of 14.6% of the selling
price? Selling Price of each pen = ₹10