Answered step by step
Verified Expert Solution
Link Copied!

Question

...
1 Approved Answer

please answer the questions below LINE ER () 100 online.manchester.ac.uk BMAN21040 Online Exam Paper.pdf ~ QUESTION 2 EssentialParts Ltd is a sub-contractor in the car

please answer the questions below

image text in transcribed
LINE ER () 100 online.manchester.ac.uk BMAN21040 Online Exam Paper.pdf ~ QUESTION 2 EssentialParts Ltd is a sub-contractor in the car industry. The firm has two operating departments: the machining department and the assembly department. The firm also has two support departments: materials procurement and general factory support. The usage of these two support departments' output for 2019 was as follows: Support departments Operating departments General Materials Factory Machining Assembly User of Services Procurement Support Department Department Budgeted manufacturing overhead costs before an inter-department cost allocations 900,000 750,000 1,000,000 4,000,000 Support work supplied by: Materials Procurement 0% 5% 50% 45% General Factory Support 40% 0% 50% 10% Required a) Use the direct method to allocate the budgeted costs of the Materials Procurement Department and General Factory Support Department to the Machine Centre and Assembly Centre. (4 Marks) b) Use the step down method to allocate budgeted costs of the Materials Procurement Department and General Factory Support Department to the Machine Centre and Assembly Centre. (8 Marks) c) Use the reciprocal method to allocate the budgeted costs of the Materials Procurement Department and General Factory Support Department to the Machining Department and Assembly Department. (12 Marks) PTO N 4 MacBook Pro

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Essentials Of Statistics For The Behavioral Sciences

Authors: Susan A. Nolan

3rd Edition

9781464107771

Students also viewed these Accounting questions