=+The overhead cost per unit was calculated from the following annual overhead-cost budget far a 60000 unit
Question:
=+The overhead cost per unit was calculated from the following annual overhead-cost budget far a 60000 unit volume.
Variable overhead cost:
Indirect labour 30000 hours @ f4.00 Supplies - oil 60000 gallons @ f.50 Allocated variable service - departmental costs Total variable overhead cost f120000 30000 30000 f180000 382 Accounting {ar management control Fixed overhead cost:
Supervision Depreciation Other fixed costs Total fixed overhead cost Total budgeted annual overhead cost at 60000 units f27000 45000 15000 f87000 f267 000 The charges to the manufacturing department for November, when 5000 units were produced, are given below:
Material: 5300 pounds @ f2.00 Direct labour: 8200 hours @ f4.10 Indirect labour: 2400 hours @ f4.10 Supplies - oil: 6000 gallons @ f.55 Other variable overhead costs Supervision Depreciation Other Total f10600 33620 9840 3300 3200 2475 3750 1250 f68035
Step by Step Answer:
Accounting For Management Control
ISBN: 9780412374807
2nd Edition
Authors: David Otley And Kenneth Merchant Clive Emmanuel