Basic. A company has over-absorbed fixed production overheads for the period by 6000. The fixed production overhead
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Basic. A company has over-absorbed fixed production overheads for the period by £6000. The fixed production overhead absorption rate was £8 per unit and is based on the normal level of activity of 5000 units. Actual production was 4500 units.
What was the actual fixed production overheads incurred for the period?
(a) £30000
(b) £36000
(c) £40000
(d) £42000
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