Chancer plc has two departments through which work passes. Costs are related to these departments and overheads are charged to jobs on the basis of departmental direct wages percentage. Expenses for the year and other related information are as follows:

Budgeted overheads				Actual overheads
Rent and rates		40,000		Department 1		92,500
Insurance of plant		12,000		Department 2		70,100
Canteen costs		12,000
Heat and light		3,000
Material handling costs		25,000
Xmas dance		8,000		Actual direct wages
Depreciation of plant		18,000
Factory security		6,000		Department 1		240,000
Repairs Dept.1		2,000		Department 2		180,000
Dept. 2		1,000
Supervisors costs		20,000

Other budgeted information

	Department 1		Department 2
Floor space	70%		30%
Plant value	80,000		40,000
Number of operators	30		50
Material used	150,000		350,000
Direct wages	236,400		170,500

Required:

1. Calculate the departmental overhead absorption rate.

2. Calculate the total cost of Job 36 using the following direct costs:

   Material	150 kilos of A	@ 3.50 per kilo
   	46 litres of B	@ 6.25 per litre
   Labour	Dept. 1	80 hours @ 5.50 per hour
   	Dept. 2	120 hours @ 7.50 per hour

3. Calculate the over/under-absorption for the year, by department, and in total for Chancer plc.