question archive Sugar Mummy Ltd has two production departments, Machining and Assembly and two service departments
Subject:AccountingPrice: Bought3
Sugar Mummy Ltd has two production departments, Machining and Assembly and two service departments. Tooling and Maintenance. The budgeted activity levels for April 2021 were thus: Machining 400 hours NS16 000 Assembly 2400 hours N$9 600 The service departments are apportioned thus: Tooling 70% to Machining 20% to Assembly 10% to Maintenance Maintenance 50% to Machining 30% to Assembly 20% to Tooling During April 2021 the actual results were: Machining 420 hours N$12000 Assembly 2300 hours N$8 000 Tooling NSS 000 Maintenance N$3000 Required a Calculate the budgeted overhead absorption rate per hour for each of the production departments (4)