1- Cost of the Fuel center distributed on the production centers (A and B) and Maintenance center by 40%, 40%, and 20% respectively. 2- Cost of the Maintenance center distributed on the production centers (A and B) by (1:3) respectively. 3- The manufacturing overhead costs for production and services centers were as follows: Production centers Service centers Details A B MFG.O.H.C $60000 $90000 Maintenance $18000 Fuel $12000
1- Cost of the Fuel center distributed on the production centers (A and B) and Maintenance center by 40%, 40%, and 20% respectively. 2- Cost of the Maintenance center distributed on the production centers (A and B) by (1:3) respectively. 3- The manufacturing overhead costs for production and services centers were as follows: Production centers Service centers Details A B MFG.O.H.C $60000 $90000 Maintenance $18000 Fuel $12000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Company contains (2) production centers (A, B), and (2) services centers
(Maintenance and Fuel), and the following data and Percentages related
to manufacturing overhead costs for this company:
1- Cost of the Fuel center distributed on the production centers (A and
B) and Maintenance center by 40%, 40%, and 20% respectively.
2- Cost of the Maintenance center distributed on the production
centers (A and B) by (1:3) respectively.
3- The manufacturing overhead costs for production and services
centers were as follows:
Service centers
Production centers
Details
Fuel
A
в
Maintenance
МFG.O.H.C
S60000
$90000
S18000
S12000
Required: From the above data, choose the correct answers after
redistribution the MFG. O.H.C for services centers on production centers
by using step-by-step method.
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