Q. No. 01The budgeted overheads and cost drivers volumes of XYZ Ltd. are as follows:Cost PoolMaterial procurement Material handlingSet-upMaintenanceQuality control.MachineryBudgeted...

Q. No. 01The budgeted overheads and cost drivers volumes of XYZ Ltd. are as follows:Cost PoolMaterial procurement Material handlingSet-upMaintenanceQuality control.MachineryBudgeted Overheads(Rs.)580,000 250,000415,000970,000176,000 720,000Cost DriverNo. of ordersNo. of movementsNo. of set-upsMaintenance hoursNo. of inspections No. of machine hoursBudgeted Volume1,1006805208,400900 24,000The company has produced a batch of 2,600 components of product AX-15. Its cost data are as follows:Material costLabour costRs. Rs.130,000 245,000The actual usage activities of the said batch are as follows:Material ordersMaterial movementsSet-upsMaintenance hours InspectionsMachine hoursRequired:(a) Calculate cost driver rates that are used for tracing appropriate amount of overheads to the said batch. (b) Ascertain the cost of batch components using Activity Based Costing261825690281,800