2.Total Production Cost= Prime Cost + FOH Cost 3.Conversion Cost= Direct Labor + FOH Cost 4.Raw Material Consumed== Raw Material Opening + Material Purchases Material Closing 5.Manufacturing Cost= Prime Cost + FOH Cost{Same as Sr. No.2} 6.Cost Of Goods Manufactured== Manufacturing Cost + Opening WIP ClosingWIP 7.Goods Available for Sale== Cost Of Goods Manufactured + Opening Finished Goods 8.Cost of Goods Sold= Goods Available for Sale Closing Finished Goods 9.Contribution Margin= Sales Variable Cost 10.Income Statement= Gross Profit Operating Expenses 11.Income Statement= (Sale-COGS) (Selling + Admin + MarketingExpenses) 12.Applied FOH Rate 13.FOH Rate= Total FOH Cost x 100 = Answer %{Based on Labor Cost} Labor Cost 14.FOH Rate= Total FOH Cost x 100 = Answer %{Based on Material}Material Cost 15.FOH Rate= Total FOH Cost x 100 = Answer %{Based on Prime Cost}Prime Cost 16.FOH Rate= Budgeted FOH Cost = Answer Rupee{Based onLabor Hours} 17.FOH Rate= Budgeted FOH Cost = Ans Rupees{Based on Machine Hours} 18.Per Unit Cost= Cost of Goods ManufacturedNo. of Units Produced19. Re-Order Period= Lead Time 20.EOQ= Re-Order Quantity 21.Re-Order Level= (Max Consumption) x (Max Lead Time) 22.Max Stock Level== Re-Order Level (Min Consumption) x (Min Lead Time) + EOQ 23.Min Stock Level= Re-Order Level (Avg Consumption) x (Avg LeadTime) 24.Danger Stock Level= (Avg Consumption) x (Emergency Lead Time) 25.Average Stock Level= Min Stock Level + Max Stock Level2 26.Average Stock Level= Min Stock Level + Re-Order Quantity2 27.Average Stock Level= Min Stock Level + EOQ2 28.EOQ= 2 (Annual Units Consumption) x (Cost per Order)(Cost per unit of Material) x (Carrying Cost Percentage) 29.Safety Stock= (Annual Demand) x (Max Lead Time Min Lead Time)365 x (Avg Lead Time 30.Inventory Turnover Ratio= Material Consumed = Answer TimesAvg Inventory 31.Inventory Holding Period= No. of days in year = 365 Inventory Turnover Ratio InventoryTurnover RatioLabor Premium Bonus Plans 32.Halsey Bonus Plan= (Time Allowed Time Saved) x (Rate per Labor Hour)2 33.Halsey-Weir Premium Bonus Plan== (Time Allowed Time Saved) x (Rate per Labor Hour)3 34.Rowan Premium Plan Step-I Bonus Rate = Time Saved x 100 = Answer %Time Allowed Step-II Bonus Pay = (Basic Pay) x (Bonus Rate %) = Answer Rupees Step-III Now Total Pay = Basic Pay + Bonus Pay Piece Rate System 35.Taylor's Differential Piece Rate Plan If Efficiency > Standard then 120 % of Normal Piece Rate = (Units Produced)x(Normal Piece Rate) + (1.20)x(Normal Piece Rate) If Efficiency < Standard then 80 % of Normal Piece Rate = (Units Produced)x(Normal Piece Rate) + (0.80)x(Normal Piece Rate)30. Merrick's Differential Piece Rate Plan