ZuoTi.Pro
Question

Which of the following is true of a unit-based costing system? a. It estimates the time to perform one unit of activity. b. I

If unit-based product costing is used, which of the following would be traced directly to the product? a. inspection costs b.In a department that is drilling holes in materials, which activity base is likely to be most appropriate for assigning overhAll of the following are unit-based activity drivers EXCEPT a. machine hours. b. direct labor hours. c. number of setups. d.

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

which of the following is true of a walt based costing Ansuler; -(6) It assigns only manufacturing Costs to products. of wilt

0 0
Add a comment
Know the answer?
Add Answer to:
Which of the following is true of a unit-based costing system? a. It estimates the time...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • A Melbourne-based company Acacia is considering the adoption of an activity-based costing (ABC) system because they...

    A Melbourne-based company Acacia is considering the adoption of an activity-based costing (ABC) system because they suspect that their traditional costing system distorts the product costs. Acacia produces and sells two products A and B. Their traditional costing system uses direct labor hours as the allocation base for manufacturing overhead cost. Additional information: Product A Product B Direct materials (DM) $38 per unit $28 per unit Direct labor (DL) $24 per unit $12 per unit Units produced 50,000 units 200,000...

  • cách). 1. Activity-based costing differs from a traditional costing system in all of the following aspects...

    cách). 1. Activity-based costing differs from a traditional costing system in all of the following aspects EXEPT: A) Direct materials, direct labor, and shipping costs are directly assigned to cost objects. B) Numerous overhead cost pools are used in ABC system. C) Most but not all manufacturing costs are assigned to products. D) Non-manufacturing as well as manufacturing costs may be assigned to products. 2. In activity-based costing, the activity rate for an activity cost pool is computed by dividing...

  • Company used to consider a traditional costing system based on machine hours; however, they are currently...

    Company used to consider a traditional costing system based on machine hours; however, they are currently considering an activity-based costing (ABC) approach. The company estimates the usage of 50,000 direct labor hours (DLH) and 30,000 machine hours (MH) for the current year. The following data show the budgeted manufacturing overhead (OH): Activity center Cost driver Activity driver Cost Material handling # of parts handled 6,000,000 $720,000 Setup costs # of setups 750 $315,000 Machining costs # of machine hours 30,000...

  • Churchill Products is considering updating its cost system to an activity-based costing system and is interested...

    Churchill Products is considering updating its cost system to an activity-based costing system and is interested in understanding the effects. The company’s cost accountant has identified three overhead cost pools along with appropriate cost drivers for each pool. Cost Pools Costs Activity Drivers Utilities $ 320,000 64,000 machine-hours Scheduling and setup 310,000 620 setups Material handling 795,000 1,590,000 pounds of material The company manufactures three models of water basins (Oval, Round, and Square). The plans for production for the next...

  • Traditional costing system allocate overhead based on a standard unit-based measure that ll products have in...

    Traditional costing system allocate overhead based on a standard unit-based measure that ll products have in common machine hours, processing time or direct labor hours but these allocation measures assume all overhead cost are directly related to units produced. Company uses a standard allocation method for overhead of 400% of direct labor costs. to produce 100000 units of product A requires $35000 of direct material and $80000 of direct labor costs. To produce 3000 units of product B requires $12000...

  • Klumper Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the...

    Klumper Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates: Activity Cost Pool Supporting direct labor Machine processing Machine setups Production orders Shipments Product sustaining Activity Rates $ 7 per direct labor-hour $ 5 per machine-hour $ 35 per setup $ 160 per order $ 125 per shipment $ 800 per product Activity data have been supplied for the following two products: Total Expected Activity K425...

  • The Homer Corporation produces two products, and reports the following production and cost information for the...

    The Homer Corporation produces two products, and reports the following production and cost information for the most recent accounting period Product A Product B Number of units produced 15,e80 units 2,500 units Direct labor $25 per direct labor hour (DLH) Direct materials cost 0.50 DLH per unit $ 2 per unit 2.00 DLH per unit $ 30 per unit Activity Driver Overhead costs Machine setup Quality inspections Total Total Cost $ 3,000. etups Product A 5 setups Product B 20...

  • Groleau Corporation has an activity-based costing system with three activity cost pools: Processing, Setting Up, and...

    Groleau Corporation has an activity-based costing system with three activity cost pools: Processing, Setting Up, and Other. The company's overhead costs, which consist of factory utilities and indirect labor, are allocated to the cost pools in proportion to the activity cost pools' consumption of resources. Costs in the Processing cost pool are assigned to products based on machine-hours (MHs) and costs in the Setting Up cost pool are assigned to products based on the number of batches. Costs in the...

  • 1) Look Manufacturing Corporation has a traditional costing system in which it applies manufacturing overhead to...

    1) Look Manufacturing Corporation has a traditional costing system in which it applies manufacturing overhead to its products using a predetermined overhead rate based on direct labor-hours (DLHs). The company has two products, N06D and M09K, about which it has provided the following data: N06D M09K Direct materials per unit $ 30.80 $ 64.10 Direct labor per unit $ 6.00 $ 28.00 Direct labor-hours per unit 0.20 1.00 Annual production (units) 48,800 21,300 The company's estimated total manufacturing overhead for...

  • ABC corporation applying normal costing system has provided the following data from its activity-based costing system...

    ABC corporation applying normal costing system has provided the following data from its activity-based costing system as follows: Activities Estimated Overhead Costs Expected Cost Drivers Quantities Cost Drivers Assembly 120,500 10,000 Number of Machine Hours Processing Orders 80,500 7,000 Number of Orders Inspection 75,500 5,000 Number of Inspection Hours Total 276,000 22,000 Actual Data concerning the company's product X appears below: Annual unit production and sales 500 units. Annual machine hours 5,000. Annual number of orders   4,500. Annual inspection hours...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT