Question
Zidi enterprise has four departments PQR& S. PQ&R are production departments while S is a service department. The actual costs for the financial year
Zidi enterprise has four departments PQR& S. PQ&R are production departments while S is a service department. The actual costs for the financial year ended 31 December 2015 were as follows: Rent Repairs of plant Depreciation of plant Light and power Supervision 30,000 Repairs to building 8,000 The following information about the departments is available and is used as a basis for distribution of costs DETAILS Area sq metres Number of employees Wages paid Value of plant 20,000 Required: 12,000 9,000 2,000 P 1500 20 1100 15 120,000 80,000 300,000 180,000 R 900 10 60,000 120,000 S 500 5 40,000 -4000. Apportion the above costs to the above departments and INDICATE the basis for apportionment 03768
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Managerial Accounting
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
12th Edition
978-0073526706, 9780073526706
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