2. Machine centers y 1,000,000 3. Assembly 1,500,000 4. Materials procurement 1,100,000 5. General factory support 1,480,000 Total = 6,080,000 Indirect materials 1. Machine centers x 500,000 2. Machine centers y 805,000 3. Assembly 105,000 4. Materials procurement 0 5. General factory support 10,000 Total = 1,420,000 overhead 1. Lighting and heating 500,000 2. Property taxes 1,000,000 3. Insurance of machinery 150,000 4. Depreciation machinery 1,500,000 5. Insurance of building 250,000 6. Salaries of works management 800,000 Total = 4,200,000 = 11,700,000 Information is Book Area Numbers Direct Machine also available value of occupied of labour hours machinery employees hours Machine shop x 8,000,000 10,000 300 1,000,000 2,000,000 Machine shop y 5,000,000 5,000 200 1,000,000 1,000,000 Assembly 1,000,000 15,000 300 2,000,000 Stores 500,000 15,000 100 Maintenance 500,000 5,000 100 Total = 15 M 50,000 1,000 property taxes ,Lighting and Area heating Employee related expenditure: Number of Basis of allocation Works management , works employees canteen, payroll office . Depreciation and insurance of Value of plant and machinery items
Machine shop x 4,000,000
Details of total materials to the production Machine shop y 3,000,000 Assembly 1,000,000 Total = 8,000,000