QUESTION 1 Consider the following information by Writeups Limited, a company that mat
paper, plain white paper and blue margin paper
WriteUps Limited uses an Activity-Based Costing System in allocating overhe
paper products it manufactures. The following table was given to you by you
Prime costs and usage per pad of the product
Cardboard Plain White
Blue Margin
5 minutes
Machine hours
Labour hours
Paper Pulp
6 minutes
12 minutes
3 minutes
5 minutes
10 minutes
750 grams
250 grams
300 grams
Overhead costs are allocated amongst four department: Production depa
department Omega, the Packaging Service department and the Maintena
Production department Alpha is machine intensive and Production depar
intensive. Another costing clerk has prepared the following table for you:​