Discuss fully ‘machine hour rate method” of absorption of overheads. How will you compute the…

Discuss fully ‘machine hour rate method” of absorption of overheads. How will you compute the…


1. What do you understand by ‘overheads’? How will you classify them?

2. Write a detailed note on ‘Collection and Codification of Overheads.’

3. Distinguish between ‘Primary and Secondary Distribution of Overheads.’

4. What do you understand by ‘Secondary Distribution Summary’? What are the methods of the same?

5. Distinguish between ‘allocation and apportionment’ of overheads.

6. Describe the different bases on which factory overheads can be apportioned.

7. What is ‘absorption of overheads’? What are the methods used for absorption of overheads?

8. Explain a] Direct Material Cost and b] Prime Cost Method of absorption of overheads.

9. Discuss fully ‘machine hour rate method’ of absorption of overheads. How will you compute the machine hour rate?

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