A manufacturing company has three production departments and two service departments. The departmental expenses are as follows:

Prepare a statement showing the apportionment of overheads of the two service departments to the production departments.

Transcribed Image Text:

Production departments A (Rs) Expenses 10,000 B (Rs) 8,000 Service departments C (Rs) 12,000 X (Rs) Z (Rs) Total (Rs) 2,000 3,000 The service department expenses are charged on the following percentage basis: Production departments 35,000 Service departments Service departments A B C X Z X 25% 20% 30% 25% Z 15% 30% 25% 30%