Problem 1: for Method of primary distribution ABC Ltd is divided into four departments: A,B,C as...

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Problem 1: for Method of primary distribution ABC Ltd is divided into four departments: A,B,C as production departments and D as service departments. The actual costs for a given period are as follows: Rs. Rs. Rent 10000 Fire insurance 5000 Repairs to plant 6000 power 9000 Dep. Of plant supervision 4500 light 1000 15000 Employers insurance liability 1500 Information with respect to the four departments are: Dept A B C D Area (sq ft) 1500 1100 900 500 No. of employees 20 15 10 15 Horse power of machines 800 500 200 --- Total wages 60000 40000 30000 20000 Value of plant 240000 180000 120000 60000 Value of stock 150000 90000 60000 --- Light points (nos.) 40 30 20 10 Apportion the costs by most equitable method Problem 1: for Method of primary distribution ABC Ltd is divided into four departments: A,B,C as production departments and D as service departments. The actual costs for a given period are as follows: Rs. Rs. Rent 10000 Fire insurance 5000 Repairs to plant 6000 power 9000 Dep. Of plant supervision 4500 light 1000 15000 Employers insurance liability 1500 Information with respect to the four departments are: Dept A B C D Area (sq ft) 1500 1100 900 500 No. of employees 20 15 10 15 Horse power of machines 800 500 200 --- Total wages 60000 40000 30000 20000 Value of plant 240000 180000 120000 60000 Value of stock 150000 90000 60000 --- Light points (nos.) 40 30 20 10 Apportion the costs by most equitable method