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Question 1 (10 Marks) The following information relates to Brunt in for the coming period Product Product A Product Product Sales and production 55.000 (Units)

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Question 1 (10 Marks) The following information relates to Brunt in for the coming period Product Product A Product Product Sales and production 55.000 (Units) $ s $ Selling price per unit) 49 Prime cost per unit) 35 92 71 Hours HO Hours Machine department (machine hours per unit) Assembly department 7 3 2 direct Labour hours per Overheads allocated and apportioned to production department (including service cost center cost) were to be recovered in product costs as follows Machine department at 1.3 per machine hour Assembly department at 0.85 per direct hour You ascertain that the above overheads could be easyzed into cost pools as follow Coster Quantity for the period Cost pool Machining services Assembly services Set-up coste Order processing Purchasing 385,000 $ 350,000 $ 28.500 170,000 92.000 Machine HS Direct labour hours See Customer Order Suppliers Onder 530 000 520 32.000 11200 1.025.500 You have also been provided with the following estimates for the periods Product Product Product Product C Number of Set-ups Customer Order 5.000 8.000 16.000 Suppliers Order 4.200 Required 1. Prepare and present profit statements using a Traditional costing 15 marks Activity-based costing 15 marks)

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