1. AB manufacturing company has two production departments, A and B, and two services departments, P and Q. It has an absorption costing system, and uses the reciprocal method of service department overhead apportionment. A B PQ Total Direct labour hours 28,000 36,000 GHC GHC GHC GHC GHC Overhead cost 220,000 330,000 160,000 190,000 900,000 Work done by P 60% 30% 10% Work done by Q 20% 65% 15 % Overheads are absorbed on a direct labour hour basis, for each production cost centre separately Required: a) Using any of the acceptable methods, calculate the total overhead costs apportioned to each production cost centre. (10 marks) b) Establish the absorption rate for each production cost centre. (4 mark) c) Calculate the full cost of Job 600 if its direct materials cost GHC 400, direct labour costs for the job total GHC 200 and the job requires 8 hours of labour in department A and 10 hours of labour in department B. (6 marks) d) Calculate the selling price of the job as it is the practice of AB manufacturing company to make i. 35% profit margin marks) ii. 30% profit mark-up on the job. (4 marks) (4