Finance Numericals

Example:  Suppose a company has taken a lease started from April 1 st  2008 and has a right to recoup short-working in next year only. The minimum rent is Rs.6000 per year. Find out how the  short-workings recoup by lessee after paying Rs.1.50 per ton as royalty? Year Output in ton 2008 5, 000 2009 10, 000 2010 24, 560 2011 21,000 Solution: Year Output in ton Minimum rent Royalty @1.50 (Output*1.50) Short-working Surplus 2008 5, 000 12, 000 7, 500 4, 500 ----- 2009 10, 000 12, 000 15, 000 ----- 3, 000 2010 24, 000 12, 000 36, 840 ----- 24, 840 2011 21,000 12, 000 31, 500 ----- 19,500 Year Short-working recouped Short-working un-recouped Un-recouped   short-working transferred to Profit&Loss a/c Amoun