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A-LevelAccountingCosting for materials and labour9706/12 · Oct/Nov 2024 · Q271 Mark

The following information is available from the costing records. budgeted overheads cost $32000 budgeted direct labour hours 4000 actual overheads cost incurred $34 000 actual direct labour hours worked 3900 By how much are the overheads over-absorbed or under-absorbed?

A$2000 under-absorbed
B$2000 over-absorbed
C$2800 under-absorbed
D$2800 over-absorbed

✓ Correct answer

C: $2800 under-absorbed

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About this question

Topic
Costing for materials and labour, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, Oct/Nov 2024 Paper 1 Variant 2, question 27.

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