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Fabio Limited makes three products in a period. Quantity (units) Labour hours per unit Product A 1,000 4 Product B 2,000 5 Product C 3,000
Fabio Limited makes three products in a period.
Quantity (units) Labour hours per unit
Product A 1,000 4
Product B 2,000 5
Product C 3,000 3
Total 6,000
Overheads for the period are 30,000 and they are absorbed on the basis of labour hours.
What is the fixed overhead cost absorbed by a unit of Product B?
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