Activity rate=Respective cost/Respective activity
=96800/12100
=$8 per sales order
Sales order processing cost associated=8*6900
=$55200
Product Costs using Activity Rates Nozama.com Inc. sells consumer electronics over the Internet. For the next...
Product Costs using Activity Rates Nozama.com Inc. sells consumer electronics over the Internet. For the next period, the budgeted cost of the sales order processing activity is $138,600, and 19,800 orders are estimated to be processed. a. Determine the activity rate of the sales order processing activity. $ per sales order b. Determine the amount of sales order processing cost that Nozama.com would receive if it had 11,300 sales orders. $
Product Costs using Activity Rates Nozama.com Inc. sells consumer electronics over the Internet. For the next period, the budgeted cost of the sales order processing activity is $182,000, and 14,000 orders are estimated to be processed. a. Determine the activity rate of the sales order processing activity. per sales order b. Determine the amount of sales order processing cost that Nozama.com would receive if it had 8,000 sales orders. $
Product Costs using Activity Rates Elegant Occasions Inc. sells china and flatware over the Internet. For the next period, the budgeted cost of the sales order processing activity is $226,000, and 16,000 sales orders are estimated to be processed a. Determine the activity rate of the sales order processing activity. 14 per sales order b. Determine the amount of sales order processing cost that Elegant Occasions would receive if it had 9,100 sales orders Product Costs using Activity Rates Elegant...
Activity Cost Pools, Activity Rates, and Product Costs using Activity-Based Costing Caldwell Home Appliances Inc. is estimating the activity cost associated with producing ovens and refrigerators. The indirect labor can be traced into four separate activity pools, based on time records provided by the employees. The budgeted activity cost and activity-base information are provided as follows: Activity Activity Pool Cost Activity Base Procurement $145,410 Number of purchase orders Scheduling 10,560 Number of production orders Materials handling 28,400 Number of moves...
Product costs using activity rates Setup Hercules Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $25 per machine hour Assembly $31 per direct labor hour $94 per setup Inspecting $18 per inspection Production scheduling $17 per production order Purchasing $8 per...
EX 4-12 Activity cost pools, activity rates, and product costs using Obj. 4 activity-based costing B. Ovens, $93.80 Caldwell Home Appliances Inc. is estimating the activity cost associated with producing ovens per unit and refrigerators. The indirect labor can be traced into four separate activity pools, based on time records provided by the employees. The budgeted activity cost and activity-base informa- tion are provided as follows: Activity Pool EXCEL TEMPLATE Activity Cost Activity Base Procurement Scheduling Materials handling Product development...
Activity Rates and Product Costs using Activity-Based Costing Garfield Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows: Budgeted Activity Cost Activity Base Activity Casting Assembly Inspecting $250,000 193,800 29,540 45,600 47,500 Machine hours Direct labor hours Number of inspections Number of setups Number of loads Setup Materials handling Corporate records were obtained to estimate the amount of activity...
Activity Rates and Product Costs using Activity-Based Costing Garfield Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows: Activity Budgeted Activity Cost Activity Base Casting $346,150 Machine hours Assembly 214,130 Direct labor hours Inspecting 37,600 Number of inspections Setup 38,920 Number of setups Materials handling 31,590 Number of loads Corporate records were obtained to estimate the amount of activity...
Activity Rates and Product Costs using Activity-Based
Costing
Garfield Inc. manufactures entry and dining room lighting
fixtures. Five activities are used in manufacturing the fixtures.
These activities and their associated budgeted activity costs and
activity bases are as follows:
Activity
Budgeted
Activity Cost
Activity Base
Casting
$319,920
Machine hours
Assembly
235,200
Direct labor hours
Inspecting
47,260
Number of inspections
Setup
39,520
Number of setups
Materials handling
50,760
Number of loads
Corporate records were obtained to estimate the amount of
activity...
Activity Rates and Product Costs using Activity-Based Costing Lonsdale Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows: Budgeted Activity Cost Activity Base Activity Casting $257,850 Machine hours Assembly Inspecting 206,910 41,440 36,400 35,260 Direct labor hours Number of inspections Number of setups Number of loads Setup Materials handling Corporate records were obtained to estimate the amount of activity...