Multiple Choice
A business absorbs overheads on a machine hour basis, which were budgeted at 12,250 machine hours with overheads of £147,000. Actual results were 9,870 hours with actual overheads of £154,645. Calculate the over or under recovery.
A) Over recovery of £36,205
B) Over recovery of £7,645
C) Under recovery of £7,645
D) Under recovery of £36,205
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q1: In absorption costing, what are the re-apportioned
Q2: Why is the absorption rate based on
Q4: Absorption costing is a management accounting technique
Q5: An activity-based costing system suits a company
Q6: A company had an under recovery of
Q7: A highly automated process is used to
Q8: What would happen to a blanket rate
Q9: Which definition best describes direct costs?<br>A) Direct