Q.6. Ray Industries Itd. has three production department A, B and C and we service durument X and
Y Following particulars are available for the month of Dec 3019
B
C
Total
2.00000
15 000
LOOD
400
2000
2000
Cost of Machinery Rs)
Floor Area (S Mar
Working Hours
We of Workers
Horse Power of Mach
Light pounts (No
Direct Wages
210
TO
5
15
13
10
20
S000
Rs
0 000
15000
10 000
Power
Rent
37 500
Electricity
Indirect Wages
Depreciation on Machinery
NO
Food Stuff Refreshment
Municipal Taxes
Other labour cost
Avage Rs 10 per head
Insurance Premium of Machinery 12.00 pa
The Expenses of service department are to be allocated in the followingmanna
A
30%
You are required to calculate the overhead absorpre per hoc esperto os produce
department
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