The following overhead cost information is available for Millennium Inc. for 2012: Activity Allocation Base Purchasing...
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The following overhead cost information is available for Millennium Inc. for 2012: Activity Allocation Base Purchasing Number of purchase orders Machine setups Number of setups Quality control Number of inspections During the year, 7,500 purchase orders were issued; 18,000 machine setups were performed; and 3,000 inspections were conducted. Required: A. B. Overhead Cost $450,000 $ $ 180,000 90,000 Calculate the overhead rates for each of the three activities. Purchasing: $ per purchase order Machine setups: per setup Quality control: per inspection If a particular job requires 16 purchase orders, 8 setups, and 10 inspections to fill, how much overhead should be applied to the job? The following overhead cost information is available for Millennium Inc. for 2012: Activity Allocation Base Purchasing Number of purchase orders Machine setups Number of setups Quality control Number of inspections During the year, 7,500 purchase orders were issued; 18,000 machine setups were performed; and 3,000 inspections were conducted. Required: A. B. Overhead Cost $450,000 $ $ 180,000 90,000 Calculate the overhead rates for each of the three activities. Purchasing: $ per purchase order Machine setups: per setup Quality control: per inspection If a particular job requires 16 purchase orders, 8 setups, and 10 inspections to fill, how much overhead should be applied to the job?
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A Calculation of Overhead Rate 1 Purchasing 4500007500 60 Per Purch... View the full answer
Related Book For
South Western Federal Taxation 2016 Corporations Partnerships Estates and Trusts
ISBN: 9781305399884
39th edition
Authors: James Boyd, William Hoffman, Raabe, David Maloney, Young
Posted Date:
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