Question 2 Having completed your cost accounting course you were instructed by your director to apply the principles of ABC to the four products currently made and sold by your company. Details of the four products and relevant information are given below for one period: The four products are similar and are usually produced in production runs of 20 units and sold in batches of 10 units. The production overhead is currently absorbed by using a machine hour rate and the total of the production overhead for the period has been analysed as follows: Question 2 Having completed your cost accounting course you were instructed by your director to apply the principles of ABC to the four products currently made and sold by your company. Details of the four products and relevant information are given below for one period: The four products are similar and are usually produced in production runs of 20 units and sold in batches of 10 units. The production overhead is currently absorbed by using a machine hour rate and the total of the production overhead for the period has been analysed as follows