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problem 1: Illustrate the meaning of the term overhead? describe fixed, variable and semi-variable overhead.

problem 2: What do you mean by overhead expenses? describe the steps which are essential for the computation of the direct labor hour rate. In what respect is the direct labor hour rate method of absorbing overhead distinct from the percentage of direct wages method?

problem 3: What are the requisites of a good process of absorption of factory overhead?

problem 4: describe the different bases on which factory expenditures can be apportioned. describe the advantages and suitability, each of them.

problem 5: prepare down a detailed critical note and on the direct labor cost method of absorption of factory overheads.

problem 6: What information is required to compute a machine hour rate for overhead absorption? Illustrate the conditions in which the method is most efficient.

problem 7: Describe the significance of machine hours as a basis for the absorption of factory overheads.

problem 8: What do you mean by classification, allocation and apportionment in relation to the overhead expenses? Describe fully.

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