4. 30 points Required information The Chapter 4 Form worksheet is to be used to create your own worksheet version of the Review Problem in the text on pages Requirement 1: eBook (a). Which of the following statements are true concerning the predetermined overhead rate when the direct labor-hour requirement for the Deluxe model dropped from 5 hours to 2 hours? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) Print References The predetermined overhead rate decreases because the total estimated overhead cost increased. The predetermined overhead rate increased because the total direct labor-hours dropped. The predetermined overhead rate decreased because the total direct labor-hours dropped The predetermined overhead rate increased because the total estimated overhead cost increased. (b). Which of the following statements are true concerning the unit product costs for the Tourist model when the direct labor-hour requirement for the Deluxe model drops from 5 hours to 2 hours? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) Economically, the fact that the Deluxe model's direct labor-hour requirement changed should have little or no impact on the cost of the Tourist model The traditional unit product cost of the Tourist model increases when the Deluxe model's direct labor-hour requirement decreases The ABC unit product cost of the Tourist model increases when the Deluxe model's direct labor-hour requirement decreases, but by not by as much as the traditional unit product cost. Requirement 2: Change the direct labor-hour requirement for the Deluxe model back to 5 hours in cell B10. Assume that the production orders change so that the Deluxe model Will have 250 orders in cell C19 and the Tourist model will have 250 orders in cell D 19. The Data area should now look like this: A B D E 1 Chapter 4: Applying Excel 2 3 Enter a formula into each of the cells marked with a ? below Review Problem: Activity-Based Costing 4 5 6 Data 7 Tourist 8 Annual sales in units Deluxe 2,000 25 $ 10,000 $ 17 4 9 Direct materials per unit 10 Direct labor-hours per unit 11 12 Direct labor rate 13 $ 12 per DLH 14 Estimated 15 Overhead Cost Total Expected Activity Deluxe Tourist 10,000 40.000 3.000 2.000 $ 50,000 5.000 16 Activities and Activity Measures 17 Labor related (direct labor-hours) 18 Machine setups (setups) 19 Production orders (orders) 20 General factory (machine-hours) 21 80,000 150,000 70,000 250,000 550,000 250 250 500 12.000 28.000 40.000 $ (a). What is the traditional unit product cost for the Deluxe model after this change? Traditional unit product cost for the Deluxe model $ 140 Required information (b). Which of the following statements are true? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) The traditional unit product costs for the two models are unchanged by the change in production orders because neither the total estimated overhead cost nor the total direct labor-hours were affected. The traditional unit product costs for the two models have been changed by the change in production orders because traditional overhead allocations based on direct labor-hours ignore other cost drivers such as production orders. The traditional unit product costs for the two models are unchanged by the change in production orders because traditional overhead allocations based on direct labor-hours ignore other cost drivers such as production orders. (c). What is the ABC unit product cost for the Deluxe model after this change? (Round your intermediate calculations and final answer to 2 decimal places.) ABC unit product cost for the Deluxe model (d). Which of the following statements are true concerning the effects of the change in production orders on the ABC unit product costs? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) The ABC unit product cost of the Deluxe model has increased and the ABC unit product cost of the Tourist model has decreased because a lower proportion of the production orders are now attributable to the Deluxe model. The ABC unit product cost of the Deluxe model has increased and the ABC unit product cost of the Tourist model has decreased because a higher proportion of the production orders are now attributable to the Deluxe model. The ABC unit product cost of the Deluxe model has decreased and the ABC unit product cost of the Tourist model has increased because a lower proportion of the production orders are now attributable to the Deluxe model. The ABC unit product cost of the Deluxe model has decreased and the ABC unit product cost of the Tourist model has increased because a higher proportion of the production orders are now attributable to the Deluxe model. Requirement 3: Change the data in your worksheet so that it matches the following: B C D E 1 Chapter 4: Applying Excel 2 3 Enter a formula into each of the cells marked with a ? below Review Problem: Activity-Based Costing 4 5 6 Data 7 Deluxe 1,000 Tourist 9,000 $ 41 $ 41 8 Annual sales in units 9 Direct materials per unit 10 Direct labor-hours per unit 11 1 1 $ 12 Direct labor rate 13 28 per DLH 14 15 Expected Activity Deluxe Tourist 1,000 9,000 40 60 Total 10.000 16 Activities and Activity Measures 17 Labor related (direct labor-hours) 18 Machine setups (setups) 19 Production orders (orders) 20 General factory (machine-hours) 21 Estimated Overhead Cost $ 35,000 120,000 70,000 150,000 $ 375,000 100 35 15 50 20.000 10,000 10,000 (a). What is the traditional unit product cost for the Deluxe model now? (Round your intermediate calculations and final answer to 2 decimal places.) Traditional unit product cost for the Deluxe model (a). What is the traditional unit product cost for the Deluxe model now? (Round your intermediate calculations and final answer to 2 decimal places.) Traditional unit product cost for the Deluxe model (b). What is the traditional unit product cost for the Tourist model? (Round your intermediate calculations and final answer to 2 decimal places.) Traditional unit product cost for the Tourist model (c). What is the ABC unit product cost for the Deluxe model? (Round your intermediate calculations and final answer to 2 decimal places.) ABC unit product cost for the Deluxe model (d). What is the ABC unit product cost for the Tourist model? (Round your intermediate calculations and final answer to 2 decimal places.) ABC unit product cost for the Tourist model 4. 30 points Required information The Chapter 4 Form worksheet is to be used to create your own worksheet version of the Review Problem in the text on pages Requirement 1: eBook (a). Which of the following statements are true concerning the predetermined overhead rate when the direct labor-hour requirement for the Deluxe model dropped from 5 hours to 2 hours? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) Print References The predetermined overhead rate decreases because the total estimated overhead cost increased. The predetermined overhead rate increased because the total direct labor-hours dropped. The predetermined overhead rate decreased because the total direct labor-hours dropped The predetermined overhead rate increased because the total estimated overhead cost increased. (b). Which of the following statements are true concerning the unit product costs for the Tourist model when the direct labor-hour requirement for the Deluxe model drops from 5 hours to 2 hours? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) Economically, the fact that the Deluxe model's direct labor-hour requirement changed should have little or no impact on the cost of the Tourist model The traditional unit product cost of the Tourist model increases when the Deluxe model's direct labor-hour requirement decreases The ABC unit product cost of the Tourist model increases when the Deluxe model's direct labor-hour requirement decreases, but by not by as much as the traditional unit product cost. Requirement 2: Change the direct labor-hour requirement for the Deluxe model back to 5 hours in cell B10. Assume that the production orders change so that the Deluxe model Will have 250 orders in cell C19 and the Tourist model will have 250 orders in cell D 19. The Data area should now look like this: A B D E 1 Chapter 4: Applying Excel 2 3 Enter a formula into each of the cells marked with a ? below Review Problem: Activity-Based Costing 4 5 6 Data 7 Tourist 8 Annual sales in units Deluxe 2,000 25 $ 10,000 $ 17 4 9 Direct materials per unit 10 Direct labor-hours per unit 11 12 Direct labor rate 13 $ 12 per DLH 14 Estimated 15 Overhead Cost Total Expected Activity Deluxe Tourist 10,000 40.000 3.000 2.000 $ 50,000 5.000 16 Activities and Activity Measures 17 Labor related (direct labor-hours) 18 Machine setups (setups) 19 Production orders (orders) 20 General factory (machine-hours) 21 80,000 150,000 70,000 250,000 550,000 250 250 500 12.000 28.000 40.000 $ (a). What is the traditional unit product cost for the Deluxe model after this change? Traditional unit product cost for the Deluxe model $ 140 Required information (b). Which of the following statements are true? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) The traditional unit product costs for the two models are unchanged by the change in production orders because neither the total estimated overhead cost nor the total direct labor-hours were affected. The traditional unit product costs for the two models have been changed by the change in production orders because traditional overhead allocations based on direct labor-hours ignore other cost drivers such as production orders. The traditional unit product costs for the two models are unchanged by the change in production orders because traditional overhead allocations based on direct labor-hours ignore other cost drivers such as production orders. (c). What is the ABC unit product cost for the Deluxe model after this change? (Round your intermediate calculations and final answer to 2 decimal places.) ABC unit product cost for the Deluxe model (d). Which of the following statements are true concerning the effects of the change in production orders on the ABC unit product costs? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) The ABC unit product cost of the Deluxe model has increased and the ABC unit product cost of the Tourist model has decreased because a lower proportion of the production orders are now attributable to the Deluxe model. The ABC unit product cost of the Deluxe model has increased and the ABC unit product cost of the Tourist model has decreased because a higher proportion of the production orders are now attributable to the Deluxe model. The ABC unit product cost of the Deluxe model has decreased and the ABC unit product cost of the Tourist model has increased because a lower proportion of the production orders are now attributable to the Deluxe model. The ABC unit product cost of the Deluxe model has decreased and the ABC unit product cost of the Tourist model has increased because a higher proportion of the production orders are now attributable to the Deluxe model. Requirement 3: Change the data in your worksheet so that it matches the following: B C D E 1 Chapter 4: Applying Excel 2 3 Enter a formula into each of the cells marked with a ? below Review Problem: Activity-Based Costing 4 5 6 Data 7 Deluxe 1,000 Tourist 9,000 $ 41 $ 41 8 Annual sales in units 9 Direct materials per unit 10 Direct labor-hours per unit 11 1 1 $ 12 Direct labor rate 13 28 per DLH 14 15 Expected Activity Deluxe Tourist 1,000 9,000 40 60 Total 10.000 16 Activities and Activity Measures 17 Labor related (direct labor-hours) 18 Machine setups (setups) 19 Production orders (orders) 20 General factory (machine-hours) 21 Estimated Overhead Cost $ 35,000 120,000 70,000 150,000 $ 375,000 100 35 15 50 20.000 10,000 10,000 (a). What is the traditional unit product cost for the Deluxe model now? (Round your intermediate calculations and final answer to 2 decimal places.) Traditional unit product cost for the Deluxe model (a). What is the traditional unit product cost for the Deluxe model now? (Round your intermediate calculations and final answer to 2 decimal places.) Traditional unit product cost for the Deluxe model (b). What is the traditional unit product cost for the Tourist model? (Round your intermediate calculations and final answer to 2 decimal places.) Traditional unit product cost for the Tourist model (c). What is the ABC unit product cost for the Deluxe model? (Round your intermediate calculations and final answer to 2 decimal places.) ABC unit product cost for the Deluxe model (d). What is the ABC unit product cost for the Tourist model? (Round your intermediate calculations and final answer to 2 decimal places.) ABC unit product cost for the Tourist model