Question
A company has three production departments and two service departments. Distribution summary of overheads is as follows: (4 +4=8 marks) Production Departments Rs. A 9,066.67
A company has three production departments and two service departments. Distribution summary of overheads is as follows: (4 +4=8 marks)
| Production Departments | Rs. |
| A | 9,066.67 |
| B | 9,800.00 |
| C | 8,533.33 |
| Service Departments |
|
| X | 6,000.00 |
| Y | 2,000.00 |
The expenses of service departments are charged on a percentage basis which is as follows:
|
| A | B | C | X | Y |
| X Dept | 40% | 30% | 20% | 10% | |
| Y Dept | 30% | 30% | 20% | 20% |
|
Apportion the cost of Service Departments by using the following two methods of apportionment.
- Repeated Distribution
- Trial & Error method
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Using Microsoft Excel And Access 20 For Accounting
Authors: Glenn Owen
5th Edition
133751229X, 9781337512299
