Answer the question below

3 BHEA.BPA/01-00 QUESTION 2 Kiambang Bertaut has three production departments and two service departments. Budgeted overhead cost for the company is given below: RM Supervisor's salary 150,000 Insurance on plant 46,000 Insurance on building 48,000 Factory rent 80,000 Heating and lighting 54,000 Depreciation on plant 23,000 Canteen cost 28,000 Building maintenance 20,000 PKP, PKB and PKD are the production departments, while MM and GG are service departments. The following additional information is available: Total OH Production Departments Service Departments PKF PKB PKD MM GG Allocated overhead - Repair (RM) 27,000 10,500 9,800 6,700 Allocated overhead - Rates (RM) 14,600 5,600 5,000 3,200 800 Value of plant (RM) 460,000 230,000 190,000 24,000 16,000 No of employees 200 100 50 20 20 10 Floor area (sq ft) 60,000 28,000 18,000 6,000 5,000 3,000 Direct labour costs (RM) 210,000 102,000 108,000 Direct labour hours 180,000 94,000 86,000 Maintenance hours 50,000 20,000 15,000 8,000 7,000 Machine hours 140,000 40,000 30,000 70,000 Re-apportionment ratio for MM 100% 60% 30% 10% Re-apportionment ratio for GG 100% 70% 20% 10% BHEA.BPA/01-00 Required: a. Prepare an overhead analysis sheet showing the basis of apportionment made. (ALL answers must be rounded-up to the nearest RM) (40 marks) b . Calculate an overhead absorption rate (OAR) based on the following basis: PKP Department: Direct labour hours PKB Department: Direct labour costs PKD Department Machine hours (ALL answers must be rounded-up to the nearest RM) (6 marks) C. Identify the most suitable bases of apportionments for each of the following indirect expenses: i. Canteen ii. Rent of factory building ili. Stores iv. Lighting and heating (4 marks) TOTAL: 50 MARKS)