CMX Sdn Bhd is mainly involved in the production of bicycle accessories. The production of the accessories is carried out by two production departments; Machining and Finishing and supported by two servicing departments; Canteen and Maintenance. The machining department is machine oriented while finishing department is labour oriented. For the year ended 31 August 2015, the company incurred the following costs: Indirect materials Indirect labour Power for machines Factory depreciation Rates & assessment Factory utilities Plant & machinery depreciation Factory property insurance Total Machining Finishing TOTAL Department RM RM 136,000 192,000 54,000 180,000 12,000 60,000 120,000 6,000 760,000 36,000 36,000 39,000 Department Canteen Maintenance RM RM RM 36,000 16,000 108,000 15,000 48,000 48,000 Below are the production data gathered from the production and service departments: Floor space occupied (m) Book value of machinery (RM) Number of employees Machine hours Direct labour hours Required: a. b. Machining Finishing TOTAL Department Department Canteen Maintenance 5,650 150 150,000 185 60,000 34,000 2,500 100,000 50 50,000 10,000 2,500 35,000 120 10,000 24,000 5,000 5 1 E 500 Differentiate between blanket OAR and departmental OAR. 10,000 10 Prepare an Overhead Analysis Sheet for the year ended 31 August 201 Show your calculation to the nearest RM. (14 mark Calculate overhead absorption rate (OAR) for each production departme using the appropriate basis. (4 marks) (4 marks)