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c) Having carried out the allocation and apportionment process of its operations, the management accountant of Flowers Ltd is left with the reapportionments to
c) Having carried out the allocation and apportionment process of its operations, the management accountant of Flowers Ltd is left with the reapportionments to carry out. The data below represent the current state of the overhead distribution summary and the additional detail that is needed to answer the question that follows. Flower Ltd overhead distribution summary Production department Service department M T F Amount in Amount in Amount in A Amount in B Amount in Kes Kes Kes Kes Kes Total b/d 25,000 20,000 30,000 10,000 20,000 Reapportionment percentages Production department M A (%) 30 B (%) 20 Service department T F A B 225 20 25 25 30 25 - Required a) Reapportion the service department overheads into the production departments on the basis of each of the following: i. ii. The repeated distribution method Algebraic method (7 Marks) (7 Marks) {TOTAL MARKS 20}
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