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4 Part 1 -- Read the information below carefully to answer questions (1-8) (2 points) KENT Ltd produces a range of products. Manufacturing is undertaken

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4 Part 1 -- Read the information below carefully to answer questions (1-8) (2 points) KENT Ltd produces a range of products. Manufacturing is undertaken using one of two processes: the Alpha and the Omega Processes. All of the products are manufactured in batshes. The current pricing policy has been to absorb all overheads using direct labour hours to obtain total cost. A recent detailed analysis has examined overhead cost; the results are: Analysis of overhead costs Cost per month () Monthly volume Alpha Process cost 192,000 960 hours Omega Process cost 89,600 2,560 hours Set-up cost 85,800 520 set-ups Handling charges 91,200 380 movements Other overheads 101,400 (see below) Total overhead costs 560,000 There are 2.000 direct labour houts available cach month. Two of KENT's products are a JT101 and a GR27. JT101s are produced by the Alpha Process in a simple operation. GR27s are manufactured by the Omega Process. Both products are sold by the metre. Details of the two products are: JT101 GR27 Monthly volume 1.000 metres 500 metres Batch size 1.000 metres 50 metres Processing time per batch Alpha 100 hours Omega 25 hours Set-ups per batch set-up 2 set-ups Handling charges per batch I movement 5 movements Exam - Six soffice.com/Pages/ResponsePage.aspx?idKs62XIUVNE FekmoyqxdbyCV7ezn5GvHmukhUOFNJTEZWT;RBSZAWVIM3VEO4VUCT1A3VCA mite Un.. Black Professional Black Professional R.. Amazon High Vol. Top Free Online Co Trending Courses Entrepreneurship in. Other overheads 101,400 (see below) Total overhead costs 560,000 There are 2.000 direct labour hours available cach month. Two of KENT's products are a JT101 and a GR27. JT101s are produced by the Alpha Process in a simple operation. GR27s are manufactured by the Omega Process. Both products are sold by the metre. Details of the two products are: JT101 GR27 Monthly volume 1.000 metres 500 metres Batch size 1,000 metres 50 metres Processing time per batch Alpha 100 hours Omega 25 hours Set-ups per batch 1 set-up 2 set-ups Handling charges per batch I movement 5 movements Materials per metre 16 IS Direct labour per metre (Direct cost) hour % hour Direct labour is paid at 16 per hour. Q. The overhead allocation rate per metre usign the traditional costing system based on direct Labour hours, is equal to 280 125 140 62.5

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