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what is the reason that we are dividing Budgeted FoH with Budgeted activity base to get the rate ?
In order to find the rate by which you allocate OH to direct labour cost... So for every direct labour hours $10 is allocated to direct labour costs.
what is the reason that we are dividing Budgeted FoH with Budgeted activity base to get the rate ?
what is the reason that we are dividing Budgeted FoH with Budgeted activity base to get the rate ?
In order to find the rate by which you allocate OH to direct labour cost... So for every direct labour hours $10 is allocated to direct labour costs.