Total Overheads (45100+92500) | 137600 | ||||
Divide: Total DLH (275+240) | 515 | ||||
OH rate per DLH | 267.18 | ||||
OH applied fro Standard product: | |||||
DLH used in product | 275 | ||||
OH rate per DLH | 267.18 | ||||
OH applied for Standard | 73474.5 | ||||
Answer is D. $ 73476 | |||||
Comitort Corporation manufactures two models of office chairs, a standard and a deluxe model. The tollowing...
Comfort Corporation manufactures two models of office chairs, a standard and a deluxe model. The following activity and cost information has been compiled: Product Number of Setups Number of Components Number of Direct Labor Hours Standard 18 6 265 Deluxe 29 12 200 Overhead Costs $61,100 $64,800 Assume a traditional costing system applies the overhead costs based on direct labor hours. What is the total amount of overhead costs assigned to the standard model? (Do not round interim calculations. Round...
Dartmouth Corporation manufactures two models of office chairs, a standard and a deluxe model. The following activity and cost information has been compiled: Number of Setups Number of Components Number of Direct Labor Hours Product Standard Deluxe 18 14 215 Overhead costs $75,000 $87,400 Number of setups and number of components are identified as activity-cost drivers for overhead. Assuming an activity-based costing system is used, what is the total amount of overhead costs assigned to the standard model? $101,200 $61,200...
Rachel's Pet Supply Corporation manufactures two models of grooming stations, a standard and a deluxe model. The following activity and cost information has been compiled: Number of Number of Number of Product Setups Components Direct Labor Hours Standard 3 30 650 Deluxe 7 50 150 Overhead costs $40,000 $120,000 Assume a traditional costing system applies the $160,000 of overhead costs based on direct labor hours. a. What is the total amount of overhead costs assigned to the standard model? b. What is the total amount of overhead costs assigned to the deluxe model? Assume an...
Looking-Good Pet Corporation manufactures two models of grooming stations, a standard and a deluxe model. The following activity and cost information has been compiled Product Standard Deluxe Number of Number of Number of Setups Components Direct Labor Hours 25 550 325 4 6 45 Overhead costs $ 27,500 $ 94,500 Assume a traditional costing system applies the $122,000 of overhead costs based on direct labor hours a. What is the total amount of overhead costs assigned to the standard model?...
Answer the following questions using the information below: Comfort Corporation manufactures two models of office chairs, a standard and a deluxe model. The following activity and cost information has been compiled: Product Number of Setups Number of Components Number of Direct Labor Hours Standard 12 8 255 Deluxe 28 12 245 Overhead costs $52,000 $78,000 Assume a traditional costing system applies the overhead costs based on direct labor hours. What is the total amount of overhead costs assigned to...
Racer X Corporation manufactures two models of motorized go-carts, a standard and a deluxe model. The following activity and overhead cost information has been compiled: Number of Number of Number of Product Setups Components Direct Labor Hours Standard 15 10 800 Deluxe 35 15 400 Overhead costs Set-up activity Inspection Activity $50,000 $40,000 Racer X hopes to reduce the overhead costs associated with the setups in the long-run: i) By reducing the cost of performing each set up by 10% and ii) By reducing the setups for standard from 15 to...
Valspar Corporation manufactures two models of outdoor furniture, standard and deluxe. The following activity and cost data are available: Product Number of Setups Number of Parts Number of Direct Labor Hours Standard 22 8 375 Deluxe 28 12 225 In the first-stage allocation, $55,000 of overhead costs were allocated to the Setups activity pool and $8,000 of overhead costs were allocated to the Assembly activity pool. Number of setups has been identified as the activity driver for Setups costs and...
Jullo produces two types of calculator, standard and deluxe. The company is currently using a traditional costing system with machine hours as the cost driver but is considering a move to activity-based costing. In preparing for the possible switch, Julio has Identified two cost pools: materials handling and setup. The collected data follow: Number of machine hours Number of material moves Number of setups Standard Model 25,7ee 585 85 Deluxe Model 30,7ee 885 535 Total estimated overhead costs are $362,930,...
Julio produces two types of calculator, standard and deluxe. The company is currently using a traditional costing system with machine hours as the cost driver but is considering a move to activity-based costing. In preparing for the possible switch, Julio has identified two cost pools: materials handling and setup. The collected data follow. Number of machine hours Number of material moves Number of setups Standard Model 25,000 550 80 Deluxe Model 30,000 850 500 Total estimated overhead costs are $303,560,...
Julio produces two types of calculator, standard and deluxe. The company is currently using a traditional costing system with machine hours as the cost driver but is considering a move to activity-based costing. In preparing for the possible switch, Julio has identified two cost pools: materials handling and setup. The collected data follow Number of machine hours Number of material moves Number of setups Standard ModelDeluxe Model 30,800 890 540 25,800 590 70 Total estimated overhead costs are $347,100, of...