Mouse uses activity-based costing. Two of Mouse's production activities are kitting (assembling the raw materials needed...

 

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Mouse uses activity-based costing. Two of Mouse's production activities are kitting (assembling the raw materials needed for each computer in one kit) and boxing the completnd products for shipment to customers. Assume that Mouse spenda $5,500,000 per month on kitting and $14,000,000 per month on boxing O (Click the lcon to view allocation information.) (Click the loon for additional information.) If a desktop now uses 175 parts, what is the new kitting cost asnigned to one desktop? (Round all More Info More Into OA $14.00 Suppose Moune estimates it will use 110,000,000 parts per month and ship products with a total volume of 28,000.000 oubic feet per manth, Assume that each desktop computer requires 250 parts and han a volume of 8 cubic feet The predetermined overhead allocation rate for kiting is Sa.05 per part and the predetenmined overhead allocation rate for boing is $0.60 per cubie foot. The kitting and boxing oosts ansigned to one computer are $12.50 and $4.00, respectively Moune contracts with its suppliers to pre-kit certain componert parta before delivering them to Mouse. Aasume his saves $1,600,000 of the kiting cost and reduces the total number of parta by 60.000,000 (becase Mouse considens each pre-kt as one part). O B. $20.00 Oc. $8.75 Mouse allocates the following OD. $12.50 • Kiming costs based on the number of parts used in the computer Boxing costs based on the cubic feet of space the computer requires Print Done Print Done Click to select your answer. Mouse uses activity-based costing. Two of Mouse's production activities are kitting (assembling the raw materials needed for each computer in one kit) and boxing the completnd products for shipment to customers. Assume that Mouse spenda $5,500,000 per month on kitting and $14,000,000 per month on boxing O (Click the lcon to view allocation information.) (Click the loon for additional information.) If a desktop now uses 175 parts, what is the new kitting cost asnigned to one desktop? (Round all More Info More Into OA $14.00 Suppose Moune estimates it will use 110,000,000 parts per month and ship products with a total volume of 28,000.000 oubic feet per manth, Assume that each desktop computer requires 250 parts and han a volume of 8 cubic feet The predetermined overhead allocation rate for kiting is Sa.05 per part and the predetenmined overhead allocation rate for boing is $0.60 per cubie foot. The kitting and boxing oosts ansigned to one computer are $12.50 and $4.00, respectively Moune contracts with its suppliers to pre-kit certain componert parta before delivering them to Mouse. Aasume his saves $1,600,000 of the kiting cost and reduces the total number of parta by 60.000,000 (becase Mouse considens each pre-kt as one part). O B. $20.00 Oc. $8.75 Mouse allocates the following OD. $12.50 • Kiming costs based on the number of parts used in the computer Boxing costs based on the cubic feet of space the computer requires Print Done Print Done Click to select your answer.

Answer rating: 100% (QA)

Allocation Rate Kitting costTotal Parts 5500000... View the full answer