# Reverse Calculations for finding Process input, wastage percentage - based on Output and Process Losses

# Problem 1

Find out also the effect of increase of decrease in the material cost of the end product for variation of every unit currency in the cost of the raw material.

**Solution** Will update soon

# Problem 2

Process I - 20%, II - 10%, III-16$\frac{2}{3}$%, IV - 8$\frac{1}{3}$%.

The material lost in each process does not have any resale value.

Calculate:

- The cost per kg. of product X, if the cost of chemical 'C' is 8 per kg. and
- The capacity of the process plants for process I, II, III and IV to hold the material for process expressed in metric tonnes of input for each process, if two conditions are be fulfilled, viz.,
- 20% of the space is to be allowed for chemical reactions, and
- The output of product X from the final process (Process IV) is expected to be 5 metric tones

**Solution** Will update soon

# Problem 3

Process A | Process B | Process C | |
---|---|---|---|

Sundry materials Direct Labour Direct expenses | 1,500 4,500 1,000 | 1,500 8,000 1,000 | 1,500 6,500 1,503 |

The wastage of Process A was 5% and in Process B 4%. The wastage of Process A was sold at 0.25 per unit and that of B at 0.50 per unit and that of C at 1.00 per unit.

The overhead charges were 160% of direct labor. The final product was sold at 10 per unit, fetching a profit of 20% on sales. Find the percentage of wastage in Process C.

**Solution** Will update soon

# Problem 4

Operation No. | Input (No. of Pcs.) | Rejected (No. of Pcs.) | Output (No. of Pcs.) |
---|---|---|---|

1 2 3 | 60,000 66,000 48,000 | 20,000 6,000 8,000 | 40,000 60,000 40,000 |

- Determine the input required to be introduced in the first operation in number of pieces in order to obtain finished output of 100 pieces after the last operation.
- Calculate the cost of raw material required to produce one piece of finished product, given the following information:
Weight of the finished piece if 0.10 kg and the price of raw material is 20 per kg.

**Solution** Will update soon