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# Cost Accounting Machine Hour Rate Numerical Question Notes

Cost Accounting Machine Hour Rate Numerical Question Notes :-  In This post we are updated to most important numerical question of cost accounting chapters name is Machine hour Rate and here you can find theory notes of cost accounting important theory and important question and other chapters links.    ### 2 thoughts on “Cost Accounting Machine Hour Rate Numerical Question Notes”

1. charu jain

can you please tell the solution to this question
Calculate the machine hour rate of a Machine from the following information:
1. Cost of the Machine = Rs. 1,25,000 Scrap value = Rs. 5, 000
2. Working Life of the machine is 10 years with 20000 working hours per year
3. Estimated Repair charges during the working life of Machine = Rs. 20,000
4. Consumption of electric power 10 units per hour @Rs 1.40 per unit.
5. Cost of Lubricating oil Rs.20 per day of 8 hours.
6. Consumable stores Rs. 100 per day of 8 hours.
7. Insurance Charges = 5% of Cost of Machine.

1. Standing charge:
lubricating oil. 20
Consumable Store. 100
Standing charges per hour. 15
120 divided by 8= 15
Variable charges:
Depreciation: 125000-5000/10 multiply by working hours20000=•6
Repair: 20000/20000=1
Power: 10 x 1•40=14
15•6
MHR= 30.6