A-LevelAccountingAbsorption Costing / Overhead AbsorptionMay/June 2011Paper 1 Q251 Mark
A business provides the following information for a month. actual direct labour hours worked 8000 actual overhead expenditure $88 000 budgeted direct labour hours 7500 budgeted overhead expenditure $90 000 What is the amount of the overhead over/under recovery?
A$2000 over-recovered
B$2000 under-recovered
C$8000 over-recovered
D$8000 under-recovered
✓ Correct Answer
The correct answer is C. This question tests the candidate's understanding of absorption 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...
🔒
Unlock the Examiner's Answer
Sign up for free to reveal the correct answer, the official mark scheme breakdown, and the examiner trap analysis for this question.
Sign Up Free to Unlock →Join thousands of Cambridge students already using Oracle Prep