Question: Need help with Part B numbers (i) and (ii). Show Attempt History Current Attempt in Progress Vaughn is an electronics components manufacturer, Information about the

 Need help with Part B numbers (i) and (ii). Show AttemptHistory Current Attempt in Progress Vaughn is an electronics components manufacturer, Information

Need help with Part B numbers (i) and (ii).

Show Attempt History Current Attempt in Progress Vaughn is an electronics components manufacturer, Information about the company's two products follows: AM-2 25,000 12,500 5,000 0.50 lbs. FM-9 5.000 15,000 Units produced Direct labor hours required for production Units per batch Shipping weight per unit 500 10 lbs. The company incurs $935,000 in overhead per year and has traditionally applied overhead on the basis of direct labor hours. Your answer is correct. (i) How much overhead will be allocated to each product using the traditional direct labor hours allocation base? (Round per unit rates to 2 decimal places, e.g. 3.54 and final answers to O decimal places, eg. 45,286.) AM-2 FM-9 425000 $ 510000 Overhead allocated to each product Assume that Vaughn has identified three activity cost pools. Pool Assembly Cost $660,000 37,500 237.500 Cost Driver Direct labor hours Number of setups (1 per batch) Weight Setup Packaging (1) Given these activity pools and cost drivers, how much overhead should be allocated to each product? (Round per unit rates to 2 decimal places, eg. 3.54 and final answers to decimal places, eg. 45,286.) AM-2 FM-9 Total allocated overhead (ii) What overhead cost per unit will be allocated to each product? (Round answers to 2 decimal places, e.g. 15.25.) AM-2 FM-9 $ Overhead cost per unit eTextbook and Media Assistance Used

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!