A city municipality arranges for the removal of its garbage by meane of motor vehicle transport. Following vehicles are maintained. No. of vehicles Specifications (in tonnes lorries) On an average each lorry makes six trips a day and in each trip covers an average distance of five kms. Each lorry carries garbage weighting only 60% of its capacity. Taking an annual average, 20% of the lorries are laid up for repairs every day. The conservancy work is carried on daily. Following are monthly charges incurred on the conservancy transport : 20 30 4 50 40 3 Items of Cost Monthly Charges $ 2,000 500 each Salary of the Superintendent, Motor Vehicles Department Salaries of 3 Transport Foremen Wages of Drivers Wages of Mazdoors (Labourers) Consumable Stores Petrol 150 each for 140 Drivers 75 each for 280 Mazdoors 16,000 60,000 15,000 5,000 Lubricants Replacement of Tyres, Tubes and Other Parts and Accessories Garage Rent and Rates (adjusted in the books of the Municipality) Gas and Electric Charges Miscellaneous Expenses 3,000 1,000 12,000 There is a repair Workshop attached to the Motor Vehicles Department which also carries out repairs for office cars and other vans and vehicles. Fifty per cent of the Superintendent's salary is debited to the Workshop, and the stipulated charges to be borne by the Conservancy Transport Department for the services of the Workshop are $10,000 a month. Assuming that a month consists of 30 days, calculate the cost per tonne km. for removal of garbage.
A city municipality arranges for the removal of its garbage by meane of motor vehicle transport. Following vehicles are maintained. No. of vehicles Specifications (in tonnes lorries) On an average each lorry makes six trips a day and in each trip covers an average distance of five kms. Each lorry carries garbage weighting only 60% of its capacity. Taking an annual average, 20% of the lorries are laid up for repairs every day. The conservancy work is carried on daily. Following are monthly charges incurred on the conservancy transport : 20 30 4 50 40 3 Items of Cost Monthly Charges $ 2,000 500 each Salary of the Superintendent, Motor Vehicles Department Salaries of 3 Transport Foremen Wages of Drivers Wages of Mazdoors (Labourers) Consumable Stores Petrol 150 each for 140 Drivers 75 each for 280 Mazdoors 16,000 60,000 15,000 5,000 Lubricants Replacement of Tyres, Tubes and Other Parts and Accessories Garage Rent and Rates (adjusted in the books of the Municipality) Gas and Electric Charges Miscellaneous Expenses 3,000 1,000 12,000 There is a repair Workshop attached to the Motor Vehicles Department which also carries out repairs for office cars and other vans and vehicles. Fifty per cent of the Superintendent's salary is debited to the Workshop, and the stipulated charges to be borne by the Conservancy Transport Department for the services of the Workshop are $10,000 a month. Assuming that a month consists of 30 days, calculate the cost per tonne km. for removal of garbage.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:A city municipality arranges for the removal of its garbage by meane
of motor vehicle transport. Following vehicles are maintained.
No. of vehicles
Specifications (in tonnes lorries)
On an average each lorry makes six trips a day and in each trip covers an average distance of
five kms. Each lorry carries garbage weighting only 60% of its capacity. Taking an annual average,
20% of the lorries are laid up for repairs every day. The conservancy work is carried on daily.
Following are monthly charges incurred on the conservancy transport :
20
30
4
50
40
3
Items of Cost
Monthly Charges
$
2,000
500 each
Salary of the Superintendent, Motor Vehicles Department
Salaries of 3 Transport Foremen
Wages of Drivers
Wages of Mazdoors (Labourers)
Consumable Stores
Petrol
150 each for 140 Drivers
75 each for 280 Mazdoors
16,000
60,000
15,000
5,000
Lubricants
Replacement of Tyres, Tubes and Other Parts and Accessories
Garage Rent and Rates (adjusted in the books
of the Municipality)
Gas and Electric Charges
Miscellaneous Expenses
3,000
1,000
12,000
There is a repair Workshop attached to the Motor Vehicles Department which also carries out
repairs for office cars and other vans and vehicles. Fifty per cent of the Superintendent's salary is
debited to the Workshop, and the stipulated charges to be borne by the Conservancy Transport
Department for the services of the Workshop are $10,000 a month.
Assuming that a month consists of 30 days, calculate the cost per tonne km. for removal of
garbage.
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