Item$3$

$12$

points

Time Remaining $2$ hours $40$ minutes $38$ seconds$02$:$40$:$38$

Check my workCheck My Work button is now enabled$1$Item $3$

Time Remaining $2$ hours $40$ minutes $38$ seconds$02$:$40$:$38$

Cancico Communications has supplied the following data for use in its ABC system:

Overhead Costs

Wages and salaries $ $312,500$

Other overhead costs $170,000$

Total overhead costs $ $482,500$

Activity Cost Pool Activity Measure Total Activity

Direct labour support Number of direct labour$-$hours $5,675$ DLHs

Order processing Number of orders $500$ orders

Customer support Number of customers $160$ customers

Other These costs are not allocated to products or customers NA

Distribution of Resource Consumption across Activity Cost Pools

Direct Labour Support Order Processing Customer Support Other Total

Wages and salaries $10\%45\%40\%5\%100\%$

Other overhead costs $15\%20\%20\%45\%100\%$

During the year, Cancico Communications completed an order for special telephone equipment for a new customer, HurnTel. This customer did not order any other products during the year. Data concerning that order follow:

Selling price $ $224$ per unit

Units ordered $215$ units

Direct materials $ $196$ per unit

Direct labour$-$hours $0\mathrm{.}6$ DLH per unit

Direct labour rate $ $31$ per DLH

Required:

$1.$ Prepare a report showing the first$-$stage allocations of overhead costs to the activity cost pools.Item$3$

$12$

points

Time Remaining $2$ hours $40$ minutes $38$ seconds$02$:$40$:$38$

Check my workCheck My Work button is now enabled$1$Item $3$

Time Remaining $2$ hours $40$ minutes $38$ seconds$02$:$40$:$38$

Cancico Communications has supplied the following data for use in its ABC system:

Overhead Costs

Wages and salaries $ $312,500$

Other overhead costs $170,000$

Total overhead costs $ $482,500$

Activity Cost Pool Activity Measure Total Activity

Direct labour support Number of direct labour$-$hours $5,675$ DLHs

Order processing Number of orders $500$ orders

Customer support Number of customers $160$ customers

Other These costs are not allocated to products or customers NA

Distribution of Resource Consumption across Activity Cost Pools

Direct Labour Support Order Processing Customer Support Other Total

Wages and salaries $10\%45\%40\%5\%100\%$

Other overhead costs $15\%20\%20\%45\%100\%$

During the year, Cancico Communications completed an order for special telephone equipment for a new customer, HurnTel. This customer did not order any other products during the year. Data concerning that order follow:

Selling price $ $224$ per unit

Units ordered $215$ units

Direct materials $ $196$ per unit

Direct labour$-$hours $0\mathrm{.}6$ DLH per unit

Direct labour rate $ $31$ per DLH

Required:

$1.$ Prepare a report showing the first$-$stage allocations of overhead costs to the activity cost pools.