Class 3: Cost allocation, job costing and ABC 1. Kingsway Ltd. You have been asked to suggest a method of deducing the full cost of various production orders of Kingsway Ltd. This method will be used as a basis for setting prices. The production orders vary greatly in size and nature from one to the next. The following information has been taken from the budget for the forthcoming financial year: Direct labour hours: 100,000 hours Machine hours 90,000 hours