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SECTION A: SHORT ANSWER TASKS

$30$

TASK ONE

Indicale whetter the following descriptions are examples of DIRECT MANUFACTURING COST, INDIRECT MMNUFACTURING COST OF NONMANUFACTURING COST. Choose the answer and wrine only Directmanulacturing cost, Tndirect manufacturing cost' or Non$-$manufacturing cost' $(10$ mweks$)$

$1\mathrm{.}1$ Wages paid to workers moving scaffolding on the bulding site.

$12$ Wages paid to workers assembling components of production.

$1\mathrm{.}3$ Wages paid to the cleaners cleaning the administration offices.

$1\mathrm{.}4$ Wages paid to the paint on the factory maintenance team.

$1\mathrm{.}5$ Wages paid to workers for idle time when a machine breaks down.

The following information pertains to question $1\mathrm{.}6$ to $19$

The following appears in the books of Pravesh Manufacturers concerning item MAC$33.$

DESCRIPTION

$\backslash$table$[[$Annual usage of material,$120000$ units$],[$Maximum usage per month,$12000$ units$],[$Minimum usage per month,$9000$ units$],[$Safety stock,$6000$ units$]]$

$\backslash$table$[[,$Maximum$],[$Delivery time for material,$4$ months$]]$

The cost to place an order is R$40$ and the cost to store one unit of material for a year is $R1,20.$

REQUIRED

$1\mathrm{.}6$ Calculate the following The order point

$(4)$

$1\mathrm{.}7$ The economic order quantity

$(5)$

$1\mathrm{.}8$ The Maximum Stock level

$(5)$

$1\mathrm{.}9$ the Average stock level

$(5)$

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