Company A Ltd. is a manufacturing company that produces tables. The production process is divided into two production departments: Assembly and Finishing. There is one service department, the Canteen department, which is used by the production departments. The relevant information for the year ahead is as follows:

Calculate the total production overheads for a product that requires 2 labor hours in the Assembly department and 4 machine hours in the Finishing department:

Select one:

a. 399.92

b. 108.14

c. 114.42

d. None of the answers is true.

Total Overheads all the departments: Item Total Depreciation 45,000 Rent 98,000 TOTAL 143,000 The following information is available about each department: Item Canteen Assembly () Finishing () () 55,000 40,000 5,000 Floor Space (sq. meters) 60,000 10,000 Value of machinery () 10,000 Stores requisitions 2,560 640 Machine hours 1,000 5,000 Labour hours 2,500 6,000