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Each of the five (5) workers in a factory is being paid P250 per day. For every unit produced in excess of 25 units in one day, a worker is paid P12. Fixed factory overhead per annum is P198,000 and there are approximately 330 working days in one year. Production data for Januar 6 and 7, 20C show the following number of units produced by each worker:
January 6 =
Abdon - 25,
Belleza - 27,
Cortes - 24,
Drillon - 24,
Emilio - 28;
January 7 =
Abdon - 26,
Belleza - 26,
Cortes - 28,
Drillon - 27,
Emilio -
Problem 1: How much savings in fixed factory overhead per unit was effected assuming that additional output is due to the incentive given?
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