paper F5 question 1

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August 23, 2014 at 8:42 pm #192079
iulia
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Hi,
Please help me with the following question about F5 june 2014 exam: why in the ‘answers’ brochure for question 1 point a) they divide the total overheads by the total labour hours and in the ‘examiners’ report’ they say that the overdeads must have been divided by the total machine hours?
Which method is the correct one?
Thank you.
August 24, 2014 at 7:01 am #192100
John Moffat
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It is a typing error in the examiners report.
It is labour hours that you were required to use for the absorption, and the examiners answer is correct.
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