1936 9 Beor QUESTION 4 (15 MARKS, 27 MINUTES) The Stint Corp is a manufacturer of two types of products; one of these products is the Man 2 which is budgeted to consume raw material at a rate of 25 kg per unit and labour of 2 and a half hours. The company has the option of using either direct labour hours or kilograms of material as a means of allocating manufacturing overheads, Material costs N$15 per kg and labour is paid at NS 75 per hour. The company has budgeted 400 labour hours and 3 000 kg of material for the production of both products. The overhead allocation rate is N$17.00 per kg of raw material used; Man 1 is the other product produced by Stint Corp and actually used the same amount of raw material as was budgeted for Man 2 and half an hour in labour time more than Man 2. Actual output was 75 units of Man 1 and 65 units of Man 2 and actual material usage for Man 2 was a expected during the budgeting period. MARKS REQUIRED: 2 4.1 How much is budgeted manufacturing overhead costs for Stint Corp? What would the overhead allocation rate be if labour hours were used as a base instead? 2. 4.2 Calculate manufacturing cost per unit of Man 1 if the allocation base for overheads is decided on the labour intensity of the product. 4.3 Given the information provided, what is the overall applied/allocated overhead cost for Stint Corp? 4.4 applied by N$4 250, what was the actual manufacturing If overheads are over 4.5 overheads? TOTAL MARKS FOR QUESTION 4 Pudacted oyrheadRue