Makeit-by-Robot Ltd uses 10 machines to produce its goods. The machines are used 7 hours a day
Question:
Makeit-by-Robot Ltd uses 10 machines to produce its goods. The machines are used 7 hours a day for 6 days per week. In a period of 13 weeks it is planned to produce 1200 units, and the overheads are estimated to amount to $141 960.
Required
(a) Calculate the machine hour overhead absorption rate.
(b) Calculate the amount of overhead absorbed by each unit of production.
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a Calculate the Machine Hour Overhead Absorption Rate The machine hour overhead absorption rate is c...View the full answer
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