The overhead cost will be apportioned in the ratio of 12:24 or 1:2 | |
Calculation of production cost | |
Direct Materials | $20,000 |
Direct Labor | $12,000 |
Overhead cost($54,000*1/3) | $18,000 |
Total production cost | $50,000 |
So Option B is answer |
Sheddon Industries produces two products. The products' identified costs are as follows: Product A Product B...
Sheddon Industries produces two products. The products' identified costs are as follows: Direct materials Direct labor Product A $20,000 12,000 Product B $15,000 24,000 29 The company's overhead costs of $108,000 are allocated based on labor cost. Assume 4,000 units of product A and 5,000 units of Product B are produced. What amount of production costs would be assigned to Product A? (Do not round intermediate calculations.) Multiple Choice $68,000 $36.000 None of the answers are correct $111.000
Sheddon Industries produces two products. The products' identified costs are as follows: Product A Product B Direct materials $ 19,000 $ 14,000 Direct labor 17,000 23,000 The company's overhead costs of $53,000 are allocated based on direct labor cost. Assume 3,000 units of product A and 4,000 units of Product B are produced. What is the cost per unit for product B? (Do not round intermediate calculations.)
Sheddon Industries produces two products. The products' identified costs are as follows: Direct materials Direct labor Product Product B $ 22,000 $17,000 14,000 26,000 The company's overhead costs of $56,000 are allocated based on direct labor cost. Assume 6,000 units of product A and 7,000 units of Product Bare produced. What is the cost per unit for product B? (Do not round intermediate calculations.) Multiple Choice $13.34 $11.34 $12.69 None of the answers are correct. < Prey 2 of 7...
Sheddon Industries produces two products. The products' identifted costs are as foillows eook Product A Product B Direct materials $26,000 18,000 Relerences $21,000 Direct labor 30,000 The company's overhead costs of $60.000 are allocated based on labor cost. Assume 10,000 units of product A and 11,000 units of Product B are produced. What amount of production costs would be assigned to Product A? (Do not round intermediate calculations.) Multiple Choice ©66500 (A $51.000 DNONE of the answers () S1,000
Paris, Inc, Produces two products, Product A and Product B. If currently allocates overhead costs using direct-labor hours, but the controller has recommended an activity-based costing (ABC) system using the following data: Activity Level Activity Cost-Driver Base Cost Product A Product B Production setup Number of setups 90,000 11 19 Materials handing & requisition Number of parts per unit 15,000 6 18 Packaging & shipping Number of units shipped 45,000 60,000 120,000 Total overhead 150,000 A, Compute the amount of...
Stanley Company has identified the following activities related to indirect production costs: Activity Activity Costs Cost Drivers Machine Setup $180,000 1,500 setup hours Materials Handling $50,000 12,500 pounds of materials Electric Power $20,000 20,000 kilowatt hours Stanley Company has obtained the following data concerning two products: Product 1 Product 2 Number of units produced 4,000 20,000 Direct materials cost $20,000 $25,000 Direct labor cost $12,000 $20,000 Number of setup hours 100 120 Pounds of materials used 500 1,500 Kilowatt-hours 1,000...
Joshua, Inc. uses activity-based costing. The company produces two products, 001 and 002. Information relating to the two products is as follows: 001 002 Units produced 19,000 25,000 Machine-hours 7,500 8,500 Direct labor-hours 8,000 12,000 Materials handling (number of moves) 4,000 6,000 Setups 5,000 7,000 The following costs for the year are reported: Materials handling $160,000 Labor-related overhead 480,000 Setups 300,000 Based on the above information, Material Handling costs assigned to Product 001 for the year are: Group of answer...
Joshua, Inc. uses activity-based costing. The company produces two products, 001 and 002. Information relating to the two products is as follows: 001 002 Units produced 19,000 25,000 Machine-hours 7,500 8,500 Direct labor-hours 8,000 12,000 Materials handling (number of moves) 4,000 6,000 Setups 5,000 7,000 The following costs are reported: Materials handling $160,000 Labor-related overhead 480,000 Setups 300,000 Setup costs assigned to 002 are:
Snowden Industries produces two electronic decoders, P and Q. Decoder P is more sophisticated and requires more programming and testing than does Decoder Q. Because of these product differences, the company wants to use activity-based costing to allocate overhead costs. It has identified four activity pools. Relevant information follows: Activity Pools Cost Pool Total Cost Driver Repair and maintenance on assembly machine $ 104,000 Number of units produced Programming cost 168,000 Number of programming hours Software inspections 12,000 Number of...
Snowden Industries produces two electronic decoders, P and Q. Decoder P is more sophisticated and requires more programming and testing than does Decoder Q. Because of these product differences, the company wants to use activity-based costing to allocate overhead costs. It has identified four activity pools. Relevant information follows: Activity Pools Repair and maintenance on assembly machine Programming cost Software inspections Product testing Total overhead cost Cost Pool Total $ 113,900 145,600 12,000 16,000 $287,500 Cost Driver Number of units...