overhead apportionment

If you choose to do repeated distribution, then we only do it to the nearest $ and so you keep going until it gets so small that to the nearest $ there is nothing to go to service departments. There is no rule as to how many times it will take, but it never takes very many times because it gets small pretty quickly.

If you have not watched the lecture on it then do, and you will see what I mean.

You are welcome 🙂

(and do watch all of the lectures – they are a complete course for F2 and cover everything you need to be able to pass the exam well)

Please don’t write in capital letters.

The stepped down method is in the lectures – it is the reciprocal method which can either be done step-by-step or algebraically. I do both in the lectures (and as I say in the lecture it does not matter which way you do it in the exam – both methods give the same answer and it is only the final answer that matters,)

The direct method is only really applicable when the service centres are not doing work for each other – again, I go through that in one of the earlier examples.