Following data is available relating to a company for a certain month: 

The company adopts sales basis and quantity basis for application of selling and distribution costs, respectively. Compute. 

(a). The territory-wise overhead recovery rates separately for selling and distribution costs, 

(b). The amounts of selling and distribution costs chargeable to a consignment of 2,000 units of a product, sold in each territory at Rs. 4.50 per unit. 

Transcribed Image Text:

Selling expenses Distribution costs No. of units sold Sales I Rs. 7,600 Rs. 4,000 16,000 Rs. 76,000 Territory II Rs. 4,200 Rs. 1,800 6,000 Rs. 28,000 III Rs. 6,240 Rs. 2,000 10,000 Rs. 52,000