Question

PA4-2 (Algo) Assigning Costs Using Traditional System, Assigning Costs Using Activity Proportions (LO 4-1, 4-3, 4-5, 4-6) Carlise Corp., which manufactures ceiling fans, currently has two product lines, the Indoor and the Outdoor. Carlise has total overhead of $133,472 Carlise has identified the following information about its overhead activity cost pools and the two product lines: Cost Quantity/Amount Quantity/Amount Assigned consumed by Indoor Consumed by Outdoor Activity Cost Pools Cost Driver to Pool Line Line Materials handling Number of moves $20,592 610 moves 430 moves Quality control Number of inspections $76,380 6,300 inspections 5,100 inspections Machine maintenance Number of machine hours $36,500 29,000 machine hours 22,000 machine hours Required: 1. Suppose Carlise used a traditional costing system machi hours as ver. Detern ount assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) Indoor Model Outdoor Model Total Overhead Assigned $ 74,760 $ 58,740 $ 133,500 2. Calculate the activity proportions for each cost pool in Carlise's ABC system. (Round your answers to 2 decimal places.) Indoor Line Materials Handling Quality Control Machine maintenance Activity Proportions Outdoor Line % % per Move % % per Inspection % % per Machine Hour

Answer 1

part A was already solved so I soved only part B. Only percentage was asked in the question so I solved percentage only.

Activity proportions Indoor line Material handling 58.65% Outdoor Line 41.35) 44.74% Quality Control 55.26% 56%. Machine maintenance 44%

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