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Apportion of overheads 1. The firm of Rowlands Plc makes pipe flanges and the works has two departments, fabrication and finishing. There exist, as well
Apportion of overheads
1. The firm of Rowlands Plc makes pipe flanges and the works has two departments, fabrication and finishing. There exist, as well as tradesmen and labourers, supervisory staff. The following overheads need to be apportioned between its two departments. Basis for apportionment 42 000 Supervision salaries 1200 Canteen costs Factory rates 7000 930 Insurance 2800 Machinery maintenance 7550 Energy supply Factory building maintenance 875 Factory floor area (a) From the list shown below complete the column "Basis for apportionment'. As an example, Factory Buiding maintenance is apportioned on the basis of factory floor area. Floor Area Number of employees Amount used Number of job repair cards completed Number of claims in last 10 yearsStep by Step Solution
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