ECR - JUNE 2004

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
Can someone please explain to me in June 2004 question 1.6 why you take the budgeted overhead figure and not the actual one which is provided<BR><BR>Thanks

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR - JUNE 2004

    I wanted to know that as well, so someone please clarify.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR - JUNE 2004

    The budgeted figures are put in the accounts and it's only when you know the actual figures that you can correct them. This is by means of the overhead absorbtion accounts, e.g. debit under absorbed, credit over absorbed.<BR><BR>To expand, the budgeted figures are estimates only, you only know the actuals once the month / year is over.<BR><BR><BR><BR><BR><BR><BR><BR>
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR - JUNE 2004

    Thanks for the explanation it was helpfull. <BR><BR>Can some one tell me why they have 12,450 as the materials cost, and not 12,750 as shown in the stock card?<BR><BR>Thanks in advance
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR - JUNE 2004

    because that is the total balance which isnt important, the figure we need is the total of issues to production.

Categories

Privacy Policy