Teepops Ltd manufactures a single product which passes through four stages of production: machining, painting, assembly and packing. The following expenditure has. been incurred by the company in the year ended 31 March 2005.

Further information 

1. The floor areas of the departments are:

2. Plant and machinery at cost is:

Required 

(a) Calculate the total overhead cost for each department. 

(b) Calculate the total cost of production for each department.

Transcribed Image Text:

Direct materials: Direct labour: Indirect labour: Factory expenses: Machining Painting Assembly Packing Machining Painting Assembly Packing Machining Painting Assembly Packing Rent 100T Heating and lighting Maintenance Insurance Plant and machinery: Depreciation Repairs Insurance $000 6080 20 5 12 136 74 68 45 51 32 28 14 mm 90 70 130 20 80 32 16