Calculate the overheads that can be allocated to the production departments A and B. There are also two service departments X and Y. X renders service worth Rs 12,000 to Y and the balance to A and B in the ratio 3:2. Y renders service to A and B in the ratio 9:1.
|
A |
B |
X |
Y |
|
|
Floor area (square feet) |
5,000 |
4,000 |
1,000 |
2,000 |
|
Assets (In lakh rupees) |
10 |
5 |
3 |
1 |
|
HP of machines |
1,000 |
500 |
400 |
100 |
|
Number of workers |
100 |
50 |
50 |
25 |
|
Light points (number) |
50 |
30 |
20 |
20 |
The expenses include the following:
|
Rs |
|
|
Depreciation |
1,90,000 |
|
Rent, rates, etc. |
36,000 |
|
Insurance |
15,200 |
|
Power |
20,000 |
|
Canteen expenses |
10,800 |
|
Electricity |
4,800 |
|
Total (Rs) |
2,76,800 |
1,39,800 |
74,600 |
42,600 |
19,800 |
|
|
Department X |
As given |
18,360 |
12,240 |
—42,600 |
12,000 |
|
|
Department Y |
As given |
28,620 |
3,180 |
—31,800 |
||
|
2,76,800 |
1,84780 |
90,020 |