Question: cost accounting Q2. a) What are the differences between single and dual rate allocation? Explain with suitable examples. ( 2 Marks) b) Provide a numerical
Q2. a) What are the differences between single and dual rate allocation? Explain with suitable examples. ( 2 Marks) b) Provide a numerical example for single rate allocation and dual rate allocation and explain the process of allocating support department costs to the operating department, assuming that: - The company has two support departments "S1 \& S2" and two operating departments "O1 \& O2." - The company use the direct method to allocate support department costs. ( 2 Marks) Note: You are required to provide numerical examples assuming the values of your own and they should not be copled from any sources. (Chapter 8)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
