Luvlibix Foods has three production departments: mixing, bakery and packaging. It also has two service departments: stores
Question:
Luvlibix Foods has three production departments: mixing, bakery and packaging. It also has two service departments: stores and canteen. The following information is provided.
Required
Apportion the service department overheads to the production departments on appropriate bases.
Transcribed Image Text:
Overheads ($000) No. of staff No. of stores requisitions Mixing Bakery Packaging Stores Canteen 165 124 387 80 90 60 80 15 18 300 80 040 40 20
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To apportion the service department overheads to the production departments we need to use an appropriate allocation method One commonly used method i...View the full answer
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