For the factory in Question 37.1, what would be the costs of the following jobs given that the direct labour costs per hour are: Dept A £5; B £4; C £6; D £7?

Data From Question 37.1:-

In a factory, four types of jobs are performed in separate production departments A, B, C and D. In addition there are three service departments, K, L and M. Costs have been allocated to the departments as follows:

The expenses of the service departments are to be allocated between other departments as follows:

In departments A and C the job costing is to use an overhead rate per direct labour hour, while in B and D a machine hour rate will be used. The number of direct hours and machine hours per department is expected to be:

Transcribed Image Text:

Job 351: Dept A Job 352: Dept B Direct materials cost Number of direct labour hours Number of machine hours Direct materials cost 760 112 80 3,597 Number of direct labour hours 256 Job 353: Dept C Number of machine hours Direct materials cost 252 2,000 Job 354: Dept D Number of direct labour hours Number of machine hours Direct materials cost 390 300 1,998 Number of direct labour hours 180 Number of machine hours 128 Job 355: Dept C Direct materials cost 1,680 Number of direct labour hours 320 Number of machine hours 300 Job passed on to Dept B where additional direct materials cost 204 Number of direct labour hours 60 Number of machine hours 40