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Was hoping someone could help.
In the solution to Abc question dec 08 i think – var ohead material cost under traditional costing is 90 using the absorption method.
Can someone please tell me how this is worked out. I can work out the abc working just cant follow the logic.
Absorption is oheads/base.
Overheads is 2,400,000 and they use total material an labour cost as base.
Please help ?
Sorry question is q39 in becker revision book