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Set 1Q1) ABCD Pvt Ltd manufactures three products using three different machines. At present the overheads are charged to products using labour hours. The following

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Set 1Q1) ABCD Pvt Ltd manufactures three products using three different machines. At present the overheads are charged to products using labour hours. The following statement for the month of Sept 2019, using the absorption costing has been prepared: Particulars Product A Product B Product C Production units 45,000 52,500 30,000 Material Cost per 350 460 410 unit(Rs) Wages per unit @ Rs 240 400 560 80 per hour Overhead cost per 240 400 560 unit (Rs) Total Cost per unit 830 1260 1530 Selling Price p.u 1037.5 1575 1912.5 The following additional information is available relating to overhead cost drivers. Cost Driver Product X Product Y Product z Total No. of 40 160 400 600 machine ups No.of 400 800 1,200 2,400 Purchase Orders No. of 1,000 2,200 4,800 8,000 Customers Actual Production and Budereted Production for the month is same Workers are paid at Standard Rate Out of total Overhead costs, 30% relates to machine set set Set 1Q1) ABCD Pvt Ltd manufactures three products using three different machines. At present the overheads are charged to products using labour hours. The following statement for the month of Sept 2019, using the absorption costing has been prepared: Particulars Product A Product B Product C Production units 45,000 52,500 30,000 Material Cost per 350 460 410 unit(Rs) Wages per unit @ Rs 240 400 560 80 per hour Overhead cost per 240 400 560 unit (Rs) Total Cost per unit 830 1260 1530 Selling Price p.u 1037.5 1575 1912.5 The following additional information is available relating to overhead cost drivers. Cost Driver Product X Product Y Product z Total No. of 40 160 400 600 machine ups No.of 400 800 1,200 2,400 Purchase Orders No. of 1,000 2,200 4,800 8,000 Customers Actual Production and Budereted Production for the month is same Workers are paid at Standard Rate Out of total Overhead costs, 30% relates to machine set set

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