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Please answer the two questions below using the data (1) Calculate overhead absorption rate for Production Department A and Production Department B allocation bases given
Please answer the two questions below using the data
(1) Calculate overhead absorption rate for Production Department A and Production Department B allocation bases given above (10 marks) (2) Calculate the total cost of Job No. 847
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KLM Ltd manufactures a single product A. It has two production departments (cost centers) namely Department A and Department B. Information about the overheads allocated to these two departments (A\&B) is given below: KLM Ltd executes a job no. 847. The cost and output details of Job No.847 are given helnur Production Department (A \& B) overheads allocation to Job No. 847 will be as follows: (a) Production Department A overheads will be allocated based on machine hours (b) Production Department B overheads will be allocated using direct labour hours Required: (1) Calculate overhead absorption rate for Production Department A and Production Department B allocation bases given above (10 marks) (2) Calculate the total cost of Job No. 847 (10 marks)Step by Step Solution
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