A-LevelAccountingCosting (Overhead Absorption)Oct/Nov 2017Paper 1 Q261 Mark
The table contains information provided by a company. [Table: budgeted direct labour hours 8000, actual direct labour hours worked 7500, budgeted overhead expenditure $104000, actual overhead expenditure $112500] What is the over or under recovery of overheads?
A$8500 over recovered
B$8500 under recovered
C$15000 over recovered
D$15000 under recovered
✓ Correct Answer
The correct answer is D. This question tests the candidate's understanding of costing (overhead absorption) within the Accountingsyllabus. The examiner's mark scheme requires...
📋 Examiner Report & Trap Analysis
Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...
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