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The YJ Company has prepared its budgets for the coming financial year and for the three production and three service departments they are: In the
The YJ Company has prepared its budgets for the coming financial year and for the three production and three service departments they are: In the process of manufacture each product spends time in each department. Statistics of each department are as follows Production hours are budgeted as: a) Prepare a statement showing the overhead to be absorbed in each production department - after spreading service departments costs. b) Set predetermined absorption rates, using machine hours in Machining, direct labour hours in Assembly, and a percentage on labour in Finishing. c) The following actual results are given and you are required to calculate under or over absorption in each department for the period. The YJ Company has prepared its budgets for the coming financial year and for the three production and three service departments they are: In the process of manufacture each product spends time in each department. Statistics of each department are as follows Production hours are budgeted as: a) Prepare a statement showing the overhead to be absorbed in each production department - after spreading service departments costs. b) Set predetermined absorption rates, using machine hours in Machining, direct labour hours in Assembly, and a percentage on labour in Finishing. c) The following actual results are given and you are required to calculate under or over absorption in each department for the period
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