PEV June 2005

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Terdoo
Terdoo Registered Posts: 144 Dedicated contributor 🦉
Could someone help with task 1.3 ab Costing, where did they get figures for:
Model F 25,0000 and model H 9,8000 Could you show some workings pls?

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  • SandyHood
    SandyHood Registered, Moderator Posts: 2,034 mod
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    Are you asking about the ABC question?
    Standard unit overhead is simply the total divided by the number of units
    for Model F
    • £80,000
    • £65,000
    • £85,000
    • £20,000
    £250,000
    divide by 10,000 units
    £25.00 per unit
    Sandy
    sandy@sandyhood.com
    www.sandyhood.com
  • mapry
    mapry Registered Posts: 15 New contributor 🐸
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    pev jun 05 1.3a

    hello well this is how to:
    Budgeted overhead cost per unit is the total overheads divided by the number of output.

    Models F H
    Materials 80 000 20 000
    Production set up 65 000 20 000
    Quality inspection 85 000 40 000
    Production supervision 20 000 18 000
    Total 250 000 98 000
    Budgeted out put 10 000 units 1000 units
    Overhead per unit £25/unit £98/unit
    hope this helps...
  • mapry
    mapry Registered Posts: 15 New contributor 🐸
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    a bit slow myself but two for the price of one hehehe...
  • Terdoo
    Terdoo Registered Posts: 144 Dedicated contributor 🦉
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    Re Pev June 2005

    Thanks for the tips
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