Overhead Absorbtion Basis - Help needed ASAP

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
Can someone help me please? I am really confused between overhead absorbtion basis and BOAR. I need to work out the overhead absorbtion basis for an assignment and then work out the BOAR. Any help fast would be much appreciated.

JPD

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Overhead Absorbtion Basis - Help needed ASAP

    The basis would be either
      per labour hour
      or per machine hour
    The Budgeted Overhead Absorption Rate is

    Total budgeted overhead cost for a department divided by the chosen basis

    sandy.hood@chichester.ac.uk
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Overhead Absorbtion Basis - Help needed ASAP

    Hi sandy,

    cheers for that. Will go give it a go.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Overhead Absorbtion Basis - Help needed ASAP

    I think sandy is a very good tutor who explains things well

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