a) Amount of overhead allocated using activity based costing
Wool product line | Cotton product line | ||
Cutting cost | 360000/200000 = 1.80 per MH | 180000 | 180000 |
Setup | 585000/1500 = 390 per setup | 390000 | 195000 |
Total overhead cost | 570000 | 375000 | |
b) Overhead allocated using traditional costing
Wool product line | Cotton product line | |
Overhead cost | 945000/2 = 472500 | 472500 |
Comparision
ABC Costing | Traditional costing | |
Wool product line | 570000 | 472500 |
Cotton product line | 375000 | 472500 |
please solve in excel/table format if possible. thank you. (traditional UUSUJ - Upelating MCMC (ULUNUI CUL)....
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