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Excellent Manufacturing works have two production departments: Mixing and curing and three service departments: Time Office, Stores and Maintenance. The following details are available from

Excellent Manufacturing works have two production departments: Mixing and curing and three service departments: Time

Office, Stores and Maintenance. The following details are available from the Departmental Distribution Summary for the

month of July, 2001:

Rs.

Rs.

Production Departments:

Service Departments:

Mixing

Curing

Time Office

Stores

Maintenance

1,44,000

96,000

48,000

60,000

36,000

2,40,000

1,44,000

The following relevant data are also available:

Production Department

Service Department

Mixing

Curing

Time Office

Stores

Maintenance

No. of employees

20

15

10

No. of Stores Requisition

processed

120

100

-

Machine hours

3,600

2,400

The company consistently follows the method of Secondary Distribution on non-reciprocal basis. Show the

apportionment of the cost of Service Departments to Production Departments stating the basis of computation in

the form of a

note at the end of the exercise.

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