Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please help me to answer asap pleaseeeee A furniture making business manufactures quality furniture to customers' orders. Budgeted overhead costs for the coming year are
please help me to answer asap pleaseeeee
A furniture making business manufactures quality furniture to customers' orders. Budgeted overhead costs for the coming year are as follows: Rent and Rates Machine insurance Telephone charges Depreciation Production Supervisors' salaries Heating and Lighting Total RM 12,800 6,000 3,200 18,000 24,000 6,400 70,400 The company has three production departments - A, B and C - and two service departments - X and Y. Relevant statistics and information are given below: A 3000 24 3200 RM4.90 B 1800 10 1800 RM4.50 Floor area occupied (sq meters) Machine value (RM000's) Direct Labour hours budgeted Labour rates per hour Departments 600 8 1000 RM5.00 Y 600 4 X 400 2 RM4.70 RM4.50 Service Dept X costs apportioned Service Dept Y costs apportioned 50% 20% 25% 30% 25% 50% Required: Prepare a statement showing the overhead cost budgeted for each department, indicating the basis of apportionment used. Calculate also suitable overhead absorption rates. (Total 20 marks)Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started