ECR EXAM - ABSORPTION COSTING

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
In yesterdays exam I found the absorption costing question quite differnt to last years. I have 2 concerns:<BR><BR>What were we supposed to use the number of employees information for because the Indirect Staff costs were allready allocated to each cost centre??<BR><BR>Also were we supposed to apportion the Direct Assembly Costs to the various cost centres or just to the Assembly one??<BR><BR>Cheers!

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR EXAM - ABSORPTION COSTING

    just allocate direct to assemble and employees was just in ther to throw you I think!<BR>
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR EXAM - ABSORPTION COSTING

    Cheers Soph! Thats made my day as that is what I did!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR EXAM - ABSORPTION COSTING

    well i messed up then!!!!!!!!!!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR EXAM - ABSORPTION COSTING

    the "number of employees" was a red herring. Think they were trying to keep us on our toes
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR EXAM - ABSORPTION COSTING

    so i sassume you pass that right
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ECR EXAM - ABSORPTION COSTING

    I used the no of employees to split the costs for the last row-why do I always fall for that-failed!!

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