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POHR question I Normal I No Spaci... Heading 1 Paragraph The following is the departmental overhead budget of Monica Fas Service departments are alocated to

POHR question

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I Normal I No Spaci... Heading 1 Paragraph The following is the departmental overhead budget of Monica Fas Service departments are alocated to productive departments usin direct method Required: Establish the overhead recovery rate for each deptmen Service Prouction Stores Repairs Cutting Machining Finishing Total otal 11470 13100 31640 24670 27580 108460 Department information L hour 24100 1200 9200 Machine Hr 24500 tore Use 20% 20% 40% 20% 100% 80% Repairs use 10% 20% 40% 30% 100% 70% ANSWER : POHR = BUDGETED OVERHEAD / LEVEL OF ACTIVITY

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