a manufacturing company has three production departments and two service departments 559068

A manufacturing company has three production departments and two service departments. The departmental expenses are as follows:

Production departments

Service departments

A(Rs)

B(Rs)

C(Rs)

X(Rs)

Z(Rs)

Total(Rs)

Expences

10000

8000

1200

2000

3000

3500

The service department expenses are charged on the following percentage basis:

Production departments

service departments

A

B

C

X

Z

X

25%

20%

30%

25%

Y

15%

30%

25%

30%

Prepare a statement showing the apportionment of overheads of the two service departments to the production departments.

Hint: The repeated distribution method is used in the absence of specific instruction.

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