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Post Info TOPIC: Costing help please


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Costing help please
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Hi can anyone refresh my memory when it comes to reapportioning?

I can't for the life of me remember how you work out the fractions between departments for example I need to reapportion Dept 3 & 4 back to the other 2 departments can anyone help?

 Dept1      Dep2       Dept3      Dept 4

119400    127000    39200     29400



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Sam



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you need to calculate out the percentage of the whole represented by the original two departments.

So 119400+127000 = 246400

119400 is (approximately) 48.46% of 246400
127000 is (approximately) 51.54% of 246000

therefore add 119400+(48.46% of 39200)+ (48.46% of 29400) = 152,644 (rounded)

and 127000+(51.54% of 39200)+ (51.54% of 29400) = 162356 (rounded)

with this sort of question you need to be very careful over the way that the question is phrased but assuming that the question just asks for a straight reapportionment of departments 3 and 4 based on the relative posions of departments 1 and 2 then this should be what you are looking for.

Also me careful on preciasion as some questions will want exact figures and some rough figures. I went for a mid point but you may find that the actual answer rounds to 48% and 52%.

Hope that helps and sure others will correct the above if I've made a mistake (I'm full of the flu so not firing on all cylinders today, sorry).

All the best,

Shaun.

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Shaun

Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.



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Thanks Shaun, I've frazzled my brain but have worked it out now. Thank you for your explanation tho as it will help greatly.

Sam

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Sam

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