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Allocation of Overhead Costs
Allocation of overheads is the term utilized where the overhead cost item can be charged to a exact cost center without the requirement for any estimation procedure. As an example here,
A. The salary of the engineer in charge of power generation will be charged to power generating cost center,
B. The salary of the sales manager will be allocated to the selling overhead cost center.
Jp Rhodes started a bowling club called " bowl them over". The following transactions took place 4 March 2012. 1. Bowling LTD transferred R20 000 bank account of the club as an in
If question (CA IPCC) is silent which method to follow: avg cost or fifo or lifo?
A corporation acquired a truck on July 1, 2012, at a cost of $162,000. The truck has a six-year useful life and an estimated salvage value of $18,000. The straight-line method of d
Alger Corp wants to buy some construction equipment for $50,000, which has a useful life of 4 years with no salvage value. Alger uses straight-line depreciation. Alger has a tax ra
what is accounting treatment for material losses due to abnormal reasons
Cost Volume Profit Analysis 1. Post Publishers has collected the following data for recent months: Month Issues published Total cost May
Batch Costing This is a kind of job costing that is utilized when production consists of limited repetitive work and definite number of item manufactured in one batch. A batc
The sales revenue line demonstrates the amount of sales earned throughout the different level of activities. It can be observed that between zero and somewhere between activity B a
INSURANCE Trustees may insure trust property against loss or damage by fire subject to the following conditions: 1. The insurance must not exceed the full value of the proper
Unrecaptured Sec. 1250 Gain and 1231. Mr. Briggs purchased an apartment complex on January 10, 2011, for $2 million with 10% of the price allocated to land. He sells the complex on
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