Week 4 - Overhead Answer all questions 1. List four (3) functions of overhead with an example for each. 3. What is allocation of overhead? 4. What is an apportionment of overhead? 5. Sweetfruit Sdn Bhd produces a variety of fruit jams. The production process involves two departments: Cooking and Packaging. The Cooking department is labour oriented whilst the Packaging department is machine oriented. In addition, the production process is supported by two service departments: Store and Maintenance. The information given below are the budgeted data that relates to the operation for the year ended 31 December 2019: Direct Materials Direct Wages Electricity Depreciation on machine Supervision Fire insurance on building Machine insurance RM 488,500 372,400 96,000 80,000 40,000 45,600 126,000 Additional information: Cooking 127,200 39.600 45,600 60 6.000 500 Packaging 108,000 67,200 28,800 22 3,000 400 Store 6.000 25,200 8,400 Maintenance 18,000 24,000 13,200 10 Indirect materials (RM) Indirect wages (RM) Other allocated costs (RM) No. of employees Maintenance hours No. of materials requisition note Area (square meter) Machine value (RM) Building value (RM) Machine hours Direct labour hours 1.000 100 500 300 2,700 50,000 240,000 90.100 220.800 1,500 150,000 100,000 250,900 42,000 5,000 5,000 Required: Prepare an overhead analysis sheet showing allocation, apportionment of overhead costs using suitable basis. (Round up to the nearest RM) Week 4 - Overhead Answer all questions 1. List four (3) functions of overhead with an example for each. 3. What is allocation of overhead? 4. What is an apportionment of overhead? 5. Sweetfruit Sdn Bhd produces a variety of fruit jams. The production process involves two departments: Cooking and Packaging. The Cooking department is labour oriented whilst the Packaging department is machine oriented. In addition, the production process is supported by two service departments: Store and Maintenance. The information given below are the budgeted data that relates to the operation for the year ended 31 December 2019: Direct Materials Direct Wages Electricity Depreciation on machine Supervision Fire insurance on building Machine insurance RM 488,500 372,400 96,000 80,000 40,000 45,600 126,000 Additional information: Cooking 127,200 39.600 45,600 60 6.000 500 Packaging 108,000 67,200 28,800 22 3,000 400 Store 6.000 25,200 8,400 Maintenance 18,000 24,000 13,200 10 Indirect materials (RM) Indirect wages (RM) Other allocated costs (RM) No. of employees Maintenance hours No. of materials requisition note Area (square meter) Machine value (RM) Building value (RM) Machine hours Direct labour hours 1.000 100 500 300 2,700 50,000 240,000 90.100 220.800 1,500 150,000 100,000 250,900 42,000 5,000 5,000 Required: Prepare an overhead analysis sheet showing allocation, apportionment of overhead costs using suitable basis. (Round up to the nearest RM)