The Moden Company has four departments. A, B and C are the production departments and D is a servicing department. The actual cost for a period are as follows:

The following data are also available in respect of four departments: 

 Apportion the above costs to the various departments on the most equitable method.

Transcribed Image Text:

Indirect materials Production department Servicing department Indirect wages Production department Servicing department Rent Repair Depreciation Light Supervision Insurance Employee's insurance (employer's liability) Power A B C A 480 B C Rs. ('000) 950 1,200 200 1,500 900 1,100 300 1,000 2,000 1,200 900 200 3,000 1,000 300 1,800