QUESTION ONE

  1. Calculate bonus payable under Rowan plan where time allowed is 24 hrs, time taken is 18 hrs and time rate is T.shs 20,000 per hour.
  2. Given:
    1. Rate per hour          T.shs 15,000
    2. Time allowed for the job   16 Hrs
    3. Time taken            12 Hrs

Required:
Calculate the total earnings for the worker, using Halsey plan, also find out effective rate of earnings.


  • Updated: 18 Jul 20
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  • Attempts: 3648
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  • Correct: 1850

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Bonus under Rowan Plan:
QUESTION TWO

2 hours allowed to a worker to produce 5 units and wages has been paid at T.shs 25,000 per hour. In a 48 hour week, the worker produced 170 units.
Calculate the total earnings of a worker under the following incentive wage systems:

  1. Halsey 50% system
  2. Rowan system
  3. Halsey - Wier system

  • Updated: 18 Jul 20
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  • Attempts: 2931
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  • Correct: 1271

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Wage under Halsey 50% system:
QUESTION THREE

During the first week of April 2017 the work man, Mr. Kipara, manufactured 300 articles. He receives wages for guaranteed 48 hrs a week at the rate of T.shs 12,000 per hour. The estimated time to produce one article is 10 minutes, but, under incentive scheme the time allowed is increased by 20%.
Calculate his gross wages according to:

  1. Halsey premium bonus 50% to workman
  2. Rowan premium bonus
  3. Piece rate

  • Updated: 18 Jul 20
  • |
  • Attempts: 2918
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  • Correct: 1148

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Wage under Halsey 50% system:
QUESTION FOUR

The three workers Nyati, Simba and Sungura produced 80, 100, 120 pieces of a product X, respectively; on a particular 8 working hours day in May 2019. The time allowed for 10 units of product X is 1 hour and their hourly rate is T.shs 4,000. Calculate earning of the day for each of these three workers, under:

  1. Halsey premium bonus (50% sharing) and
  2. Rowan premium bonus method of labour remuneration.
  3. Straight piece rate

  • Updated: 18 Jul 20
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  • Attempts: 1874
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  • Correct: 987

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Nyati's Wage under Halsey 50% system:
QUESTION FIVE

Standard production is 20 units per hour, general wage rate is T.shs 20,000 per hour. Wage rate, if work executed below standard: 80% of general rate. Wage rate on execution of work at or above standard, is 120% of general rate. Production in 8 hrs of one day by Mr. A is 150 units and by Mr. B is 200 units. Compute total remuneration payable to Mr. A and B under the Taylor plan.


  • Updated: 18 Jul 20
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  • Attempts: 1151
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  • Correct: 531

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Remuneration of Worker A:
QUESTION SIX

A company has its factories at two locations. Rowan plan is in use at location A and Halsey plan at location B. Standard time and basic rate of wages are same for a job which is similar and is carried out on similar machinery. Time allowed is 60 hours. Job at location A is completed in 36 hours while at B. it has taken 48 hours. Conversion costs at respective places are T.shs. 122,400 and T.shs. 150,000. Overheads account for T.shs. 2,000 per hour.
Required:
Find out the normal wage rate.


  • Updated: 18 Jul 20
  • |
  • Attempts: 1192
  • |
  • Correct: 305

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Normal Wage Rate:
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