Question
RS Ltd is a manufacturing company producing product P, which has the following cost card. GHS Direct Material Direct Labour Direct Expenses (1kg @GHS
RS Ltd is a manufacturing company producing product P, which has the following cost card. GHS Direct Material Direct Labour Direct Expenses (1kg @GHS 5 per kg) (2hrs @GHS 5 per hr) Heating Power Maintenance 5 16 RS ltd produces and sells 1,000 units in a month. RS absorbed overheads based on the number of units produced. Based on past experience, RS Itd estimates its monthly oerheads will be as follows: GHS 10 1 3,000 2,000 500 5,500 Required: Calculate the overhead allocated to each unit of Product P and the cost per unit
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