Steven Co. has two products: A and B. The following is
information about the assembly activity in its factory:
Estimated cost | Estimated activity | |||
Product A | Product B | Total | ||
Assembly | $14,000 | 510 | 250 | 760 |
The activity rate for the Assembly Department is closest to:
a.$54.12.
b.$18.42.
c.$21.90.
d.$57.94.
Activity rate = Total estimated cost/Total allocation base = 14,000/(510+250) = 14,000/760 = 18.42 |
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Steven Co. has two products: A and B. The following is information about the assembly activity...
Steven Co. has two products: A and B. The following is information about the assembly activity in its factory: Estimated cost Estimated activity Product Product B 510270 Total 780 Assembly $14,800 The activity rate for the Assembly Department is closest to: a. $59.68 b. $23.47. c. $18.97 d. $52.93. We were unable to transcribe this imageCarr Manufacturing makes a product that incurs prime costs of $290,000. Production uses 1,300 setup hours and 2,200 machine hours. Activity rates are $80 per...
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2. Condelezza Co. manufactures two products, A and B, in two production departments, Assembly and Finishing. Condelezza Co. expects to produce 10,000 units of Product A and 20.000 units of Product B in the coming year. Budgeted factory overhead costs for the coming year are: Assembly Finishing Total $310,000 340.000 $650,000 The machine hours expected to be used in the coming year are as follows: Product A Product B Total Assembly Dept. 14,100 5.900 20.000 Finishing Dept. 8,000...
COVID 19 Co has an activity-based costing system with three activity cost pools-Machining, Assembly, and Other. In the first stage allocations, costs in the two overhead accounts, equipment depreciation and facotry expense, are allocated to three activity cost pools based on resource consumption. Data used in the first stage allocations follow Overhead costs: Equipment depreciation $79,600 Factory expense $5,000 Distribution of Resource Consumption Across Activity Cost Pools: Activity Cost Pools Machining Assembly Other Equipment depreciation 0.30 0.50 0.20 Factory expense...
COVID 19 Co has an activity-based costing system with three activity cost pools--Machining, Assembly, and Other. In the first stage allocations, costs in the two overhead accounts, equipment depreciation and facotry expense, are allocated to three activity cost pools based on resource consumption. Data used in the first stage allocations follow: Overhead costs: $79,600 Equipment depreciation $5,000 Factory expense Distribution of Resource Consumption Across Activity Cost Pools: Activity Cost Pools Machining Assembly Other 0.20 0.20 Equipment depreciation 0.50 0.30 Factory...
COVID 19 Co has an activity-based costing system with three activity cost pools--Machining, Assembly, and Other. In the first stage allocations, costs in the two overhead accounts, equipment depreciation and facotry expense, are allocated to three activity cost pools based on resource consumption. Data used in the first stage allocations follow: Overhead costs: $79,600 Equipment depreciation $5,000 Factory expense Distribution of Resource Consumption Across Activity Cost Pools: Activity Cost Pools Machining Assembly Other 0.20 0.20 Equipment depreciation 0.50 0.30 Factory...
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