Kitaro makes quality products from sheet glass. Budgeted overhead costs for the next year are: Activity...

  

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Kitaro makes quality products from sheet glass. Budgeted overhead costs for the next year are: Activity Purchasing Setting Materials handling Inspection Cost driver volume pa Purchase orders 1,800 Set ups Materials movements Batches produced Machine hours Cost driver 3,200 8,500 2,800 45,000 Purchase orders Output Production batch size Materials movements per 10 batch Machine hours per unit Set ups Cost pool Machining costs Kitaro is considering in producing a new product, dcor glass, which currently is popular and have a very high demand in the market. The selling price is RM 4.10 per unit and its material cost RM 0.75 per unit. 30 25,000 units 200 units RM90,000 RM144,000 RM153,000 The estimation for the new dcor glass production and overhead budget details are as follows: 0.2 150 RM70,000 RM180,000 Kitaro makes quality products from sheet glass. Budgeted overhead costs for the next year are: Activity Purchasing Setting Materials handling Inspection Cost driver volume pa Purchase orders 1,800 Set ups Materials movements Batches produced Machine hours Cost driver 3,200 8,500 2,800 45,000 Purchase orders Output Production batch size Materials movements per 10 batch Machine hours per unit Set ups Cost pool Machining costs Kitaro is considering in producing a new product, dcor glass, which currently is popular and have a very high demand in the market. The selling price is RM 4.10 per unit and its material cost RM 0.75 per unit. 30 25,000 units 200 units RM90,000 RM144,000 RM153,000 The estimation for the new dcor glass production and overhead budget details are as follows: 0.2 150 RM70,000 RM180,000

Answer rating: 100% (QA)

a Calculate the Budgeted Overhead Costs for Dcor Glass Production using ActivityBased Costing ABC Principles Purchasing Cost driver rate for Purchasing Cost pool Cost driver volume RM90000 1800 RM50 p... View the full answer