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Homework Answers
| Activity cost pool | Activity rate | |
| Labor-related | $ 6.00 | per DLH |
| Machine-related | $ 1.00 | per MH |
| Machine setups | $ 33.00 | per setup |
| Production orders | $ 49.00 | per order |
| Product testing | $ 31.00 | per test |
| Packaging | $ 12.00 | per package |
| General factory | $ 12.40 | per DLH |
Calculations:
Activity rate = Estimated overhead cost ÷ Expected activity
| Activity cost pool | Estimated overhead cost | / | Expected activity | = | Activity rate |
| Labor-related | $ 24,000 | / | 4,000 | = | $ 6.00 |
| Machine-related | $ 5,000 | / | 5,000 | = | $ 1.00 |
| Machine setups | $ 13,200 | / | 400 | = | $ 33.00 |
| Production orders | $ 24,500 | / | 500 | = | $ 49.00 |
| Product testing | $ 34,100 | / | 1,100 | = | $ 31.00 |
| Packaging | $ 46,800 | / | 3,900 | = | $ 12.00 |
| General factory | $ 49,600 | / | 4,000 | = | $ 12.40 |
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[The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of...
Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the...
Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Estimated Overhead Cost Expected Activity Labor-related $ 24,400 4,000 direct labor-hours Machine-related $ 5,000 5,000 machine-hours Machine setups $ 13,200 400 setups Production orders $ 24,500 500 orders Product testing $ 34,100 1,100 tests Packaging $ 46,800 3,900 packages General factory $ 49,600 4,000 direct labor-hours Required: 1. Compute the activity rate for each activity cost...
Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the...
Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 24,400 $5,000 $13,200 $ 24,500 $ 34,100 $ 46,800 $ 49,600 Expected Activity 4,000 direct labor-hours 5,000 machine-hours 400 setup 500 orders 1.100 tento 3.900 packages 4,000 direct labor-hours Exercise 4-2 Part 1 Required: 1. Compute the activity rate for each...
R Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the...
R Corporation is a diversified manufacturer of consumer goods.
The company's activity-based costing system has the following seven
activity cost pools:
Activity Cost Pool
Estimated
Overhead Cost
Expected
Activity
Labor-related
$
24,400
4,000
direct
labor-hours
Machine-related
$
5,000
5,000
machine-hours
Machine
setups
$
13,200
400
setups
Production
orders
$
24,500
500
orders
Product
testing
$
34,100
1,100
tests
Packaging
$
46,800
3,900
packages
General
factory
$
49,600
4,000
direct
labor-hours
1. Compute the activity rate for each activity cost pool....
Required information [The following information applies to the questions displayed below.) Rustafson Corporation is a diversified...
Required information [The following information applies to the questions displayed below.) Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 18,400 $ 5,000 $ 46,800 $ 23,000 $ 27,200 $ 39,600 $ 51,600 Expected Activity 2,000 direct labor-hours 10,000 machine-hours 1,200 setups 500 orders 800 tests 3,600 packages 2,000 direct...
Required information [The following information applies to the questions displayed below.) Rustafson Corporation is a diversified...
Required information [The following information applies to the questions displayed below.) Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 18,400 $ 5,000 $ 46,809 $ 23,000 $ 27,200 $ 39,600 $ 51,600 Expected Activity 2,000 direct labor-hours 10,000 machine-hours 1,200 setups 500 orders 800 tests 3,600 packages 2,000 direct...
Required information The following information applies to the questions displayed below.) Rustafson Corporation is a diversified...
Required information The following information applies to the questions displayed below.) Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 26,800 $ 4,500 $ 41,800 $ 17,000 $ 15,500 $ 51,000 $ 52,400 Expected Activity 5,000 direct labor-hours 9,000 machine-hours 1,100 setups 500 orders 500 tests 3,400 packages 5,000 direct...
Required information (The following information applies to the questions displayed below.) Rustafson Corporation is a diversified...
Required information (The following information applies to the questions displayed below.) Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 16,400 $ 5,000 $ 20,500 $ 19,000 $ 21,700 $ 36,000 $ 53,600 Expected Activity 10,000 direct labor-hours 10,000 machine-hours 500 setups 500 orders 700 tests 3,600 packages 10,000 direct...
Required information [The following information applies to the questions displayed below.] Rustafson Corporation is a diversified...
Required information [The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Estimated Overhead Cost Expected Activity Labor-related $ 28,000 5,000 direct labor-hours Machine-related $ 2,500 5,000 machine-hours Machine setups $ 34,300 700 setups Production orders $ 13,800 300 orders Product testing $ 12,000 600 tests Packaging $ 57,000 3,800 packages General factory $ 60,000 5,000 direct...
Fick Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the...
Fick Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Estimated Overhead Cost Expected Activity Labor-related $ 24,400 4,000 direct labor-hours Machine-related $ 5,000 5,000 machine-hours Machine setups $ 13,200 400 setups Production orders $ 24,500 500 orders Product testing $ 34,100 1,100 tests Packaging $ 46,800 3,900 packages General factory $ 49,600 4,000 direct labor-hours Compute the company's predetermined overhead rate, assuming that the company...
Required information [The following information applies to the questions displayed below.] Rustafson Corporation is a diversified...
Required information [The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 26,800 $ 4,500 $ 41,800 $ 17,000 $ 15,500 $ 51,000 $ 52,400 Expected Activity 5,000 direct labor-hours 9,000 machine-hours 1,100 setups 500 orders 500 tests 3,400 packages 5,000 direct...
Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 24,400 $5,000 $13,200 $ 24,500 $ 34,100 $ 46,800 $ 49,600 Expected Activity 4,000 direct labor-hours 5,000 machine-hours 400 setup 500 orders 1.100 tento 3.900 packages 4,000 direct labor-hours Exercise 4-2 Part 1 Required: 1. Compute the activity rate for each...
R Corporation is a diversified manufacturer of consumer goods.
The company's activity-based costing system has the following seven
activity cost pools:
Activity Cost Pool
Estimated
Overhead Cost
Expected
Activity
Labor-related
$
24,400
4,000
direct
labor-hours
Machine-related
$
5,000
5,000
machine-hours
Machine
setups
$
13,200
400
setups
Production
orders
$
24,500
500
orders
Product
testing
$
34,100
1,100
tests
Packaging
$
46,800
3,900
packages
General
factory
$
49,600
4,000
direct
labor-hours
1. Compute the activity rate for each activity cost pool....
Required information [The following information applies to the questions displayed below.) Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 18,400 $ 5,000 $ 46,800 $ 23,000 $ 27,200 $ 39,600 $ 51,600 Expected Activity 2,000 direct labor-hours 10,000 machine-hours 1,200 setups 500 orders 800 tests 3,600 packages 2,000 direct...
Required information [The following information applies to the questions displayed below.) Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 18,400 $ 5,000 $ 46,809 $ 23,000 $ 27,200 $ 39,600 $ 51,600 Expected Activity 2,000 direct labor-hours 10,000 machine-hours 1,200 setups 500 orders 800 tests 3,600 packages 2,000 direct...
Required information The following information applies to the questions displayed below.) Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 26,800 $ 4,500 $ 41,800 $ 17,000 $ 15,500 $ 51,000 $ 52,400 Expected Activity 5,000 direct labor-hours 9,000 machine-hours 1,100 setups 500 orders 500 tests 3,400 packages 5,000 direct...
Required information (The following information applies to the questions displayed below.) Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 16,400 $ 5,000 $ 20,500 $ 19,000 $ 21,700 $ 36,000 $ 53,600 Expected Activity 10,000 direct labor-hours 10,000 machine-hours 500 setups 500 orders 700 tests 3,600 packages 10,000 direct...
Required information [The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 26,800 $ 4,500 $ 41,800 $ 17,000 $ 15,500 $ 51,000 $ 52,400 Expected Activity 5,000 direct labor-hours 9,000 machine-hours 1,100 setups 500 orders 500 tests 3,400 packages 5,000 direct...
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