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Croesus Enterprises' factory comprises two production cost centres ( P 1 and P 2 ) and two service cost centres ( S 1 and S
Croesus Enterprises' factory comprises two production cost centres P and P and two service cost
centres S and S The total allocated and apportioned overhead for each of the cost centres is as
follows:
The management accountant at Croesus Enterprises has estimated that each service cost centre does
work for other cost centres in the following proportions:
The reapportionment ie secondary allocation of service cost centre costs to other cost centres fully
reflects the above proportion.
After the reapportionment of service cost centre costs has been carried out, what is the total
overhead for production cost centre P
A R
B R
C R
D R
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