Question 1 The Yummy Confectionery has two main production departments and two service departments. Production...
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Question 1 The Yummy Confectionery has two main production departments and two service departments. Production Departments 1. Melting 2. Cooling Service Departments 1. Maintenance 2. Quality Assurance The total production overhead for a year is as below RM Depreciation of machines Lighting Rental of factory Supervisors' salaries 660,000 300,000 72,000 84.000 1,116,000 The following information is also available: Melting Department Cooling Department Maintenance Quality Department Assurance Department Number of employees Machines (hours) Floor areas (Square meters) 50 300,000 20,000 30 200,000 13,000 Nil 3,000 Nil 4,000 Required: (a) Apportion and reapportion all production overhead to production departments. (b) Melting and Cooling departments are machine intensive. Compute the production overhead absorption rates for both departments (Simplify your answer to 2 decimal places)
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