Sultan Company uses an activity-based costing system. At the beginning of the year, the company made...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Sultan Company uses an activity-based costing system. At the beginning of the year, the company made the following estimates of cost and activity for its five activity cost pools: Activity Cost Pool Labor-related Purchase orders. Parts management Board etching General factory Activity Measure Direct labor-hours Number of orders. Number of part types Number of boards Machine-hours Activity Cost Pool Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards). General factory (MHS): Expected Overhead Cost $ 269,100 $ 11,000 $ 78,440 $ 85,050 $ 242,400 Product A 7,500 66 29 580 2,600 Required: 1. Compute the activity rate for each of the activity cost pools. 2. The expected activity for the year was distributed among the company's four products as follows: Prow Product B 13,400 Expected Activity 30 19 Complete this question by entering your answers in the tabs below. www Expected Activity 29,900 DLHS 220 orders 106 part types. 1,590 boards 20,200 MHS bout 750 7,300 Using the ABC data, determine the total amount of overhead cost assigned to each product. Product C 3,800 32 47 560 3,700 Product D 5,200 92 11 0 6,600 Ces Using the ABC data, determine the total amount of overhead cost assigned to each product. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the activity rate for each of the activity cost pools. Activity Cost Pool Activity Rate per DLH per order per part type per board per MH Labor-related Purchase orders Parts management Board etching General factory Required 2 > Check 31 Dok int int ences Using the ABC data, determine the total amount of overhead cost assigned to each product. Complete this question by entering your answers in the tabs below. Required 1 Required Using the ABC data, determine the total amount of overhead cost assigned to each product. Overhead Cost Overhead Cost Overhead Cost Overhead Cost Assigned Product A Activity Cost Pool Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHs) Total Assigned Product B < Required 1 Assigned Product C Assigned Product D Sultan Company uses an activity-based costing system. At the beginning of the year, the company made the following estimates of cost and activity for its five activity cost pools: Activity Cost Pool Labor-related Purchase orders. Parts management Board etching General factory Activity Measure Direct labor-hours Number of orders. Number of part types Number of boards Machine-hours Activity Cost Pool Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards). General factory (MHS): Expected Overhead Cost $ 269,100 $ 11,000 $ 78,440 $ 85,050 $ 242,400 Product A 7,500 66 29 580 2,600 Required: 1. Compute the activity rate for each of the activity cost pools. 2. The expected activity for the year was distributed among the company's four products as follows: Prow Product B 13,400 Expected Activity 30 19 Complete this question by entering your answers in the tabs below. www Expected Activity 29,900 DLHS 220 orders 106 part types. 1,590 boards 20,200 MHS bout 750 7,300 Using the ABC data, determine the total amount of overhead cost assigned to each product. Product C 3,800 32 47 560 3,700 Product D 5,200 92 11 0 6,600 Ces Using the ABC data, determine the total amount of overhead cost assigned to each product. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the activity rate for each of the activity cost pools. Activity Cost Pool Activity Rate per DLH per order per part type per board per MH Labor-related Purchase orders Parts management Board etching General factory Required 2 > Check 31 Dok int int ences Using the ABC data, determine the total amount of overhead cost assigned to each product. Complete this question by entering your answers in the tabs below. Required 1 Required Using the ABC data, determine the total amount of overhead cost assigned to each product. Overhead Cost Overhead Cost Overhead Cost Overhead Cost Assigned Product A Activity Cost Pool Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHs) Total Assigned Product B < Required 1 Assigned Product C Assigned Product D
Expert Answer:
Answer rating: 100% (QA)
1 Compute the activity rate for each activity cost pools are shown below Therefore Activity rate for labor related is 6 per labor activity rate for pu... View the full answer
Related Book For
Introduction to Managerial Accounting
ISBN: 978-0078025792
7th edition
Authors: Peter Brewer, Ray Garrison, Eric Noreen
Posted Date:
Students also viewed these accounting questions
-
An annuity pays $6000 at the beginning of every year for 12 years. If the payments are deferred for 7 years and interest is 4.38% compounded monthly, what is the cash value of the property?
-
A building acquired at the beginning of the year at a cost of $485,000 has an estimated residual value of $75,000 and an estimated useful life of 25 years. Determine (a) The depreciable cost, (b) The...
-
A building acquired at the beginning of the year at a cost of $650,000 has an estimated residual value of $125,000 and an estimated useful life of 40 years. Determine (a) The double-declining-balance...
-
The functions in Exercises 1128 are all one-to-one. For each function, a. Find an equation for f -1 (x), the inverse function. b. Verify that your equation is correct by showing that f( f -1 (x)) = x...
-
What are the four primary objectives of data entry?
-
How do the numbers of people living in households in the United Kingdom (U.K.) and South Africa compare? To help answer this question, we chose independent random samples of 50 students from each...
-
Use the regressors \(x_{2}\) (passing yardage), \(x_{7}\) (percentage of rushing plays), and \(x_{8}\) (opponents' yards rushing) for the National Football League data in Table B.1. a. Does the...
-
In the spring of each year, Steinbrook Colleges theater department puts on a contemporary play. Before the performance, the theater manager instructs student volunteers in their duties as cashier,...
-
Accounting for Fair Value Hedge: Interest Rate Swap On January 1 of Year 1, Innovative Lab issued a 4-year $50,000 note to a local bank with fixed interest payments based on 6%, payable annually on...
-
John and Sandy Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2020, John worked as a computer technician at a local university earning a salary of $152,000, and...
-
Wheadon, Davis, and Singer formed a partnership with Wheadon contributing $60,000, Davis contributing $50,000 and Singer contributing $40,000. Their partnership agreement called for the income (loss)...
-
What is your opinion of the UCC exceptions to general contract law?
-
Discuss mutuality of consideration with respect to your contract with your school.
-
Please answer the following three questions: (a) Jacks business has a financial year end of 31 May. He bought an item of plant for 225,000 on 1 June 2022 and estimated its useful life to be six years...
-
Draft an offer that is capable of being accepted by a specified class.
-
What makes particular situations or social circles unconducive to the recognition of opportunities?
-
Expand the logarithmic expression In (x-3) (x+2)4
-
A spacecraft has left the earth and is moving toward Mars. An observer on the earth finds that, relative to measurements made when the spacecraft was at rest, its a. length is shorter b. KE is less...
-
Marine, Inc., manufactures a product that is available in both a flexible and a rigid model. The company has made the rigid model for years; the flexible model was introduced several years ago to tap...
-
Pleasant View Hospital of British Columbia has just hired a new chief administrator who is anxious to employ sound management and planning techniques in the business affairs of the hospital....
-
Morganton Company makes one product and it provided the following information to help prepare the master budget for its first four months of operations: a. The budgeted selling price per unit is $70....
-
Henry Ford, founder of Ford Motor Company, is quoted as saying that customers could choose a car in any color as long as it was black. Things have come a long way since that timewhen customization...
-
Not long ago, New England Confectionery Company, or Necco for short, marked the production of its one trillionth candy wafer. The humble roots of Necco, the country's oldest continuously operating...
-
What is utility?
Study smarter with the SolutionInn App