(a)[2]
Calculate an overhead absorption rate from labour hours.
(b(i))[4]
Calculate the total cost assigned to each type of sweatshirt.
(b(ii))[2]
Calculate the selling price of each sweatshirt type.
(c(i))[4]
Calculate the total costs assigned to each type of sweatshirt when machine set up costs are apportioned by the number of set up times.
(c(ii))[2]
Calculate the updated selling price for each sweatshirt type.
(c(iii))[2]
Calculate the change in selling price of each sweatshirt type.
(d)[6]
Explain three ways in which activity based costing differs from absorption costing.
(e)[3]
Advise Chetna on which method she should choose. Justify your answer.