ABSOBTION COSTING EXERCISE A road construction company worked on four different road projects at the same time for a period of six months. These projects are known as J, H, I and K projects. The road distance in Kms and cost data related to the projects are shown below. PROJECTS COST DATA PROJECTS PROJECT II PROJECTE PROJECT K Road distance in kms 30 60 20 10 Cost of grave!- TZS per km 20,000,0000 20,000,0000 25,000,0000 25,000,0000 Cost of cement- TZS per km 15.000.000 15,000,000 20,000,000 20,000,000 Cost of Sand- TZS per km 1,000,000 1,000,000 1,000,000 1,000,000 Cost of water- TZS per km 200,000 200,000 200,000 200,000 The overhead costs incurred in six months are as follows: Cost of equipment - TZS 500M Salaries - TZS 220M Administrative costs - TZS 40M Other overhead costs-- TZS 40M a) Determine the total variable cost for each type of road project b) Using absorption costing method to compute the unit cost per km of each type of road project. Use the total cost of gravel per road project as a criterion for allocating the overhead costs to the four road projects