Question: Please answer the questions. asap 4 Question 4 JMA BHD, an engineering company, consists of two production cost centers and a service cost center. The

 Please answer the questions. asap 4 Question 4 JMA BHD, an

Please answer the questions. asap 4

Question 4 JMA BHD, an engineering company, consists of two production cost centers and a service cost center. The production cost centers are Machine Shop and Assembly Shop. Overheads in the machine shop are to be absorbed based on machine hours and in the assembly shop on the basis of labour hours. The service cost center is a store where raw materials are kept. The following are the allocated costs for the month of January 2022: The following details are available: The expense of the store is apportioned to Machine Shop at \40 and another \60 to Assembly Shop. The actual machine hour for the machine shop was 58,000 hours and the labor hour for the assembly shop was 16,000 hours. The actual overhead incurred on the Machine shop was RM200,000 and for the assembly shop was RM240,000. Required: a) Prepare JMA Bhd Overhead Analysis Sheet for January 2022. Calculate your answer to the nearest Ringgit. (16 marks) b) Calculate appropriate overhead absorption rates (OAR) for each of the two Production departments below using the appropriate basis. (4 marks) c) Calculate the over or under-absorption overhead for the machine shop and assembly shop

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!