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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Fixed overheads
Sir, suppose a company makes 2 products A and B and incurs general fixed overheads of $50000. However, company also incurs specific fixed overheads of $3000 but only for product B. Now suppose if company stops making Product B, and continue making only product A, so
1) The general fixed overheads will remain same of $50000 na?
2) Specific fixed overheads incurred will be $0 na?
The general fixed overheads will remain.
The specific fixed overheads relating to B will disappear if B is not produced.
