in a manufacturing concern the bonus to workers is paid on a slab rate based on cost 618395

In a manufacturing concern, the bonus to workers is paid on a slab rate based on cost savings towards labour and overheads. The following are the slab rates:

up to 10% saving

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5% of earning

up to 15% saving

9% of earning

up to 20% saving

13% of earning

up to 30% saving

21% of earning

up to 40% saving

28% of earning

above 40% saving

32% of earning

The wages rate per hour of 4 workers – P, Q, R and S are, respectively, Re. 1; Rs. 1.10; Rs. 1.20; and Rs. 1.40. Overheads are recovered on direct wages at the rate of 200% standard cost under wages and overheads per unit of production is fixed at Rs. 30. The workers have completed one unit each in 8, 7, 5 ½ and 5 hours, respectively. Calculate in respect of each worker:

  1. The amount of bonus earned
  2. Total earnings
  3. Total earnings per hour
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