Repeated distribution method
Give a brief introduction of the term Repeated distribution method?
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Repeated distribution method - is where the overheads of service department are shared to other departments on concord percentage, and this procedure is repeated until the amount of overheads is tired out to consider additional apportionment.
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Rs. Sales 2,40,000 Variable costs 1,44,000 Fixed costs 26,000 Profit before tax 70,000 Rate of tax 40% Firm is proposing to buy the new plant that could generate extra annual profit of Rs. 10,000. The fixed cost of new plant is expected to Rs. 4000. New plant would increase sales volume by Rs. 40,00
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