A factory has two service departments P and Q and three production departments A, B, and C.
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Question:
A factory has two service departments P and Q and three production departments A, B, and C. You are supplied with the following information:Expenses of Service Departments P and Q are apportioned as under: A B C P Q P 30% 40% 20% 10% Q 10% 20% 50% 20% You are required to show the apportionment of overheads under different methods of apportioning interservice departments overheads and also to work-out the production hour rate recovery of overheads in departments A, B and C
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