Shine Co. Manufactures laser printers. It has outlined the following overhead cost drivers: Overhead Cost Pool...

 

Transcribed Image Text:

Shine Co. Manufactures laser printers. It has outlined the following overhead cost drivers: Overhead Cost Pool Cost Driver Overhead Cost Budgeted Level for Cost Driver Budgeted Overhead Rate Quality Control Machine Repetitions Accounts Receivable Inspection P 64,800 1,080 P 60 Repetitions 132,000 1,100 120 Invoices 900 30 30 Other overhead Direct labor hours 48,000 4,000 cost 12 112 Shine Co. had an order for 700 laser printers. Following is a list of production requirements for the order Number of inspection 175 Number of repetitions 180 Number of invoices processed Direct labor hours 5 650 1, Using activity based costing, applied factory overhead for the 700 laser printer order based on the number of inspections is calculated to be 2. Using activity based costing, applied factory overhead for the 700 laser printer order based on the number of repetitions is calculated to be 3. Using activity based costing, applied factory overhead for the 700 laser printer order based on the mumber of invoices is calculated to be 4. Using activity based costing, applied factory overhead for the 700 laser printer order based on the direct labor hours is calculated to be Shine Co. Manufactures laser printers. It has outlined the following overhead cost drivers: Overhead Cost Pool Cost Driver Overhead Cost Budgeted Level for Cost Driver Budgeted Overhead Rate Quality Control Machine Repetitions Accounts Receivable Inspection P 64,800 1,080 P 60 Repetitions 132,000 1,100 120 Invoices 900 30 30 Other overhead Direct labor hours 48,000 4,000 cost 12 112 Shine Co. had an order for 700 laser printers. Following is a list of production requirements for the order Number of inspection 175 Number of repetitions 180 Number of invoices processed Direct labor hours 5 650 1, Using activity based costing, applied factory overhead for the 700 laser printer order based on the number of inspections is calculated to be 2. Using activity based costing, applied factory overhead for the 700 laser printer order based on the number of repetitions is calculated to be 3. Using activity based costing, applied factory overhead for the 700 laser printer order based on the mumber of invoices is calculated to be 4. Using activity based costing, applied factory overhead for the 700 laser printer order based on the direct labor hours is calculated to be

Answer rating: 100% (QA)

Answer To calculate the applied factory overhead for the 700 laser printer order based on different ... View the full answer