5) What would be the most appropriate way of apportioning depreciation costs across different manufacturing departments in a business? A. Floor space B. Number of employees C. Value of machinery D. Administration costs

6) In the process of reapportionment, the reciprocal basis (indirect method) is ______. A. where only one service department exists which provides services to all production departments B. where only one production department exists which provides services to all service departments C. where two or more service departments provide service to only some production departments D. where two or more service departments provide service for production departments and for each other

7) A company uses an overhead absorption rate based on machine hours. Budgeted overhead for a year amounted to RM720,000, but actual overhead incurred was RM738,000. During the year, the company absorbed RM714,000 of overhead on 119,000 actual machine hours. What were the companys budgeted machine hours for the year? A. 116,098 B. 119,000 C. 120,000 D. 123,000