Mathematics · Cost Accounting - Overhead Absorption
Sheep Co manufactures two products, X and Y, in a factory divided into two production cost centres, Primary and Finishing. The following budgeted data are available: Cost centrePrimaryFinishingAllocated and apportioned fixed overhead costs$96,000$82,500Direct labour minutes per unit:- Product X3625- Product Y4835 Budgeted production is 6,000 units of product X and 7,500 units of product Y. Fixed overhead costs are to be absorbed on a direct labour hour basis. What is the budgeted fixed overhead cost per unit for product Y?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1$15✓
- 2$14
- 3$12
- 4$11
Correct answer
$15
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