# May\June 2011 Q7

Posted by Darkling
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 May\June 2011 Q7 June 02, 2012 08:16AM Registered: 10 years ago Posts: 234 Rating: 0
Phillip = (50 + 5 + 4) x 450 = 59 x 450 = 26550
Albert = (50 + 5) x 500 = 55 x 500 = 27500
Mpho = ((50/8) x 5) x 380) = 11875
Daphney = 50 x 200 = 10000
Faith = ((50/8) x 5) x 250) = 7812.5
Donald = 5 x 300 = 1500
Overhead = 50 x 300 = 15000

Total = 100237.5
 Re: May\June 2011 Q7 June 04, 2012 07:04PM Registered: 8 years ago Posts: 21 Rating: 0
I think there might be a mistake here...

The cost given in the question is only an HOURLY COST.. whereas we need to work out the DAILY COST and then multiply that by the amount of days..

E.g.
PHILLIP: 59 days X 3600 (hourly cost of R450 X 8hrs a day) = 212 400
MPHO: 50 days X 1900 (hourly cost of R380 X 5hrs a day) = 95 000

What do you think?
 Re: May\June 2011 Q7 June 04, 2012 07:06PM Registered: 8 years ago Posts: 21 Rating: 0
With the above method of calculation, I get a total cost of R1106100
 Re: May\June 2011 Q7 June 04, 2012 07:08PM Registered: 8 years ago Posts: 21 Rating: 0
Correction: Total cost = 1101900
 Re: May\June 2011 Q7 June 04, 2012 07:15PM Registered: 10 years ago Posts: 234 Rating: 0
You are right Leron.
It was a bit confusing because they mention overhead per day but the rest per hour.

So yes we should read carefully.

Thanks for pointing that out.

Regards
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