Question Tag: Bonus calculation

Search 500 + past questions and counting.

  • Filter by Professional Bodies

  • Filter by Subject

  • Filter by Series

  • Filter by Topics

  • Filter by Levels

  • 15 Marks

MI – Nov 2023 – L1 – SB – Q2b – Costing Methods

calculation of total remuneration for workers.

There are six workers in a production department of a manufacturing company: Ayo, Bola, Cosmas, Dapo, Eniola, and Alasa. The following information is extracted from the company’s records for the month: Standard production per month is 1,250 units.

Production by each employee:

  • Ayo: 1,000 units
  • Bola: 1,250 units
  • Cosmas: 1,375 units
  • Dapo: 900 units
  • Eniola: 1,125 units
  • Alasa: 1,200 units

Piecework rate is N100.00 per unit of actual production.
Additional bonus is N200.00 for each 1% of actual production above 80% of the standard production. There’s also a production allowance of N5,000 per month.

Required:
Compute the total remuneration for the workers for the month.

Login or create a free account to see answers

Login
Register

Find Related Questions by Tags, levels, etc.

Report an error
Report an error

You're reporting an error for "MI – Nov 2023 – L1 – SB – Q2b – Costing Methods"

  • 8 Marks

MA – May 2021 – L2 – Q1b – Divisional performance, Performance analysis

Evaluate the impact of a new investment on a division’s Return on Investment, Residual Income, and manager’s bonus.

b) Peah is a divisional manager of Monrovia Ltd. He is paid a bonus of 5% on the division’s residual income after charging the bonus. The division is currently considering an additional investment of GH¢200,000 with 10 years useful life but nil residual value. The investment is expected to yield a profit after depreciation of GH¢51,600. This will augment the existing capital employed of GH¢1,050,000 that currently offers GH¢264,400 profit after depreciation annually. The company’s policy is to accept investment projects that provide a return of at least 22%.

Required: i) Calculate the Return on Investment and Residual Incomes of the division before considering the new investment. (2 ½ marks)
ii) Advise the division on whether the new investment should be taken or not. (2 ½ marks)
iii) What will be the percentage change in the bonus of Peah if the new investment is added to the division’s existing operations? (3 marks)

Login or create a free account to see answers

Login
Register

Find Related Questions by Tags, levels, etc.

Report an error
Report an error

You're reporting an error for "MA – May 2021 – L2 – Q1b – Divisional performance, Performance analysis"

  • 15 Marks

MI – Nov 2023 – L1 – SB – Q2b – Costing Methods

calculation of total remuneration for workers.

There are six workers in a production department of a manufacturing company: Ayo, Bola, Cosmas, Dapo, Eniola, and Alasa. The following information is extracted from the company’s records for the month: Standard production per month is 1,250 units.

Production by each employee:

  • Ayo: 1,000 units
  • Bola: 1,250 units
  • Cosmas: 1,375 units
  • Dapo: 900 units
  • Eniola: 1,125 units
  • Alasa: 1,200 units

Piecework rate is N100.00 per unit of actual production.
Additional bonus is N200.00 for each 1% of actual production above 80% of the standard production. There’s also a production allowance of N5,000 per month.

Required:
Compute the total remuneration for the workers for the month.

Login or create a free account to see answers

Login
Register

Find Related Questions by Tags, levels, etc.

Report an error
Report an error

You're reporting an error for "MI – Nov 2023 – L1 – SB – Q2b – Costing Methods"

  • 8 Marks

MA – May 2021 – L2 – Q1b – Divisional performance, Performance analysis

Evaluate the impact of a new investment on a division’s Return on Investment, Residual Income, and manager’s bonus.

b) Peah is a divisional manager of Monrovia Ltd. He is paid a bonus of 5% on the division’s residual income after charging the bonus. The division is currently considering an additional investment of GH¢200,000 with 10 years useful life but nil residual value. The investment is expected to yield a profit after depreciation of GH¢51,600. This will augment the existing capital employed of GH¢1,050,000 that currently offers GH¢264,400 profit after depreciation annually. The company’s policy is to accept investment projects that provide a return of at least 22%.

Required: i) Calculate the Return on Investment and Residual Incomes of the division before considering the new investment. (2 ½ marks)
ii) Advise the division on whether the new investment should be taken or not. (2 ½ marks)
iii) What will be the percentage change in the bonus of Peah if the new investment is added to the division’s existing operations? (3 marks)

Login or create a free account to see answers

Login
Register

Find Related Questions by Tags, levels, etc.

Report an error
Report an error

You're reporting an error for "MA – May 2021 – L2 – Q1b – Divisional performance, Performance analysis"

Elevate your professional expertise across key business domains with our comprehensive training programs

Our offerings

Contact Info

  • +233203701923
    +233543919232
  • info@knowsia.com

Customer

Get In Touch

Follow us on our social media and get daily updates.

Facebook-f Twitter Linkedin-in Envelope
Oops!

This feature is only available in selected plans.

Click here to view all plans

Click on the login button below to login if you’re already subscribed to a plan or click on the upgrade button below to upgrade your current plan.

Login
Upgrade Plan

If you’re not subscribed to a plan, click on the button below to choose a plan

Subscribe to a plan