(a(i))[2]
Explain the term allocation as used in absorption costing.
(a(ii))[2]
Explain the term apportionment as used in absorption costing.
(b)[6]
Complete the table so that it shows the apportionment of the budgeted overheads for the year ended 31 March 2024.
(c)[4]
Calculate, to two decimal places, the overhead absorption rate for each production department for the year ended 31 March 2024.
(d)[3]
Calculate the over absorption or under absorption of overheads for the preparation department for the year ended 31 March 2024.
(e)[6]
Calculate the selling price for the order.
(f)[7]
Advise the directors whether they ought to switch to a JIT method of inventory control. Justify your answer by taking both financial and non-financial factors into account.