XYZ Ltd has three production departments (P, Q and R) and two service departments (X and Y). The following data relate to these departments:
Determine overhead recovery rate per hour for production departments, if X’s expenses are distributed to P, Q, R and Y in the ratio of 2 : 3 : 4 : 1 and Y’s expenses are distributed in the ratio of 4 : 2 : 3 : 1 to P, Q, R and X respectively.
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