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Tristar Manufacturing produces two types of battery-operated toy soldiers: infantry and special forces. The soldiers are prod

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1 Plantwide rate=Total overhead cost/Total machine hours
Total overhead cost=68400+26664+16020+30744=$ 141828
Total machine hours=19000+19000=38000
Plantwide rate=141828/38000=$ 3.73 per machine hour
Overhead assigned=Machine hours*Plantwide rate
Infantry:
Overhead assigned=19000*3.73=$ 70870
Special forces:
Overhead assigned=19000*3.73=$ 70870
2 Consumption ratio=Activity for the product/Total activity
Infantry Special forces
Machining 0.50 0.50
19000/(19000+19000) 19000/(19000+19000)
Setup 0.75 0.25
330/(330+110) 110/(330+110)
Receiving 0.90 0.10
810/(810+90) 90/(810+90)
Packing 0.67 0.33
1680/(1680+840) 840/(1680+840)
3 Activity rate=Activity cost/Total activity
Machining=68400/(19000+19000)=68400/38000=$ 1.8 per machine hour
Setup=26664/(330+110)=26664/440=$ 60.6 per setup
Receiving=16020/(810+90)=16020/900=$ 17.8 per order
Packing=30744/(1680+840)=30744/2520=$ 12.2 per order
4 Overhead assigned=Consumption ratio*Activity rate
Infantry Special forces
Activity Activity rate Overhead assigned Activity Activity rate Overhead assigned
a b a*b c d c*d
Machining 19000 1.8 34200 19000 1.8 34200
Setup 330 60.6 19998 110 60.6 6666
Receiving 810 17.8 14418 90 17.8 1602
Packing 1680 12.2 20496 840 12.2 10248
Total 89112 52716
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