Budgeted overhead expenditure was $180000 and budgeted labour hours were 12000. Actual overheads amounted to $196000 and actual labour hours were 12200. What was the under or over absorption of overheads?
✓ Correct Answer
The correct answer is D. This question tests the candidate's understanding of absorption costing and 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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