I've been asked to do a profit and loss on the plant and machinery the company owns and hires out.
I have done one on the machinery altogether and a small profit and loss on each machine as the director would like to know how much that machine has brought in and what we have paid out then taking the net profit from the cost of the machine we are left with a small profit.
Some of the overheads correspond directly to each machine however some of them don't. On what basis would you apportion the overheads? I was thinking on how often the machinery is hired out?
It has been a while since I have done this at college so have totally forgotten the equation.
