Question

ILLUSTRATION
9 (Reverse calculation of Factory Overhead
ministrative overheads)
son engineering company, the factory overheads are recovered on a fixed
percentage basis on direct wages and the administrative overheads are absorbed on
a fored percentage basis on factory cost.
The company has furnished the following data relating to two jobs undertaken by it
in a period
Job TOT
Job 702
Direct materials
54,000
37,500
Direct wages
42,000
30,000
Selling price
1,66,650
1,28,250
Profit percentage on Total Cost
70%
20%
Required:
COMPUTATION of percentage recovery rates of factory overheads and
administrative overheads.​

Answer 1

Answer:

Explanation:

Ans is explained clearly in the document attached below.

dbab610dc2685b1cb62149372a498d1d.pdf