Mumbai Transport Ltd operates a fleet of lorries. The following information relates to lorry 10 for the month of June: Operating costs (June): Petrol, oil, and grease, `9,600; Wages - driver, `10,000,...


Mumbai Transport Ltd operates a fleet of lorries. The following information relates to lorry 10 for the month of June:


Operating costs (June): Petrol, oil, and grease, `9,600; Wages - driver, `10,000, attendant, `6,000 and mechanic, `6,000. Maintenance costs (estimated for the year): `9,600. Fixed costs (estimated for the year): Insurance, `9,600, Road tax, `3,600 and miscellaneous, `2,400. Capital cost, `7,26,000; Residual value estimated to be `1,20,000 with an effective life of 5 years. Administration and other overheads for the year, `1,20,000.


Prepare operating cost statement determining cost per km operated.



Dec 06, 2021
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