Chrom Co. manufactures two models, the XL and RD. It also has two departments, assembly and...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Chrom Co. manufactures two models, the XL and RD. It also has two departments, assembly and finishing. The company wants to assign overhead costs to its two different models to better understand the profitability of each model. The Tableau Dashboard provides data for our analysis. Estimated Overhead Costs by Estimated Direct Labor Hours & Department Machine Hours by Department 150,000 hrs 125,000 hrs 100,000 hrs Finishing 75,000 hrs Assembly Total: Astembly $8,000,000 so,000 hrs Assembly -300 25.000 hrs Finishing Finishing 25000 Direct Labor Hours Machine Hours Prev or 27 Next Ch Estimated Overhead Costs by Cost Driver & Expected Usage Activity by Activity Supervision Maintenance Supervision 2O0O000 Total: $8,000,000 Maintenance 125000 DLH lo0000 < Prev MH 12 of 27 Next > 21 Note: Total overhead costs by department and total overhead costs by divity are equal. The costs are presented in two different ways here. * + ableau 1. Using data from the upper half of the dashboard, compute the company's single plantwide overhead rate based on direct labor hours. 2. Using data from the upper half of the dashboard, compute the company's single plantwide overhead rate based on machine hours. 1. Plantwide overhead rate based on direct labor hours O per direct labor hour Estimated overhead costs Estimated direct labor hours 2. Plantwide overhead rate based on machine hours Estimated overhead conts O per machine hour Estimated machine hours Chrom Co. manufactures two models, the XL and RD. It also has two departments, assembly and finishing. The company wants to assign overhead costs to its two different models to better understand the profitability of each model. The Tableau Dashboard provides data for our analysis. Estimated Overhead Costs by Estimated Direct Labor Hours & Department Machine Hours by Department 150,000 hrs 125,000 hrs 100,000 hrs Finishing 75,000 hrs Assembly Total: Astembly $8,000,000 so,000 hrs Assembly -300 25.000 hrs Finishing Finishing 25000 Direct Labor Hours Machine Hours Prev or 27 Next Ch Estimated Overhead Costs by Cost Driver & Expected Usage Activity by Activity Supervision Maintenance Supervision 2O0O000 Total: $8,000,000 Maintenance 125000 DLH lo0000 < Prev MH 12 of 27 Next > 21 Note: Total overhead costs by department and total overhead costs by divity are equal. The costs are presented in two different ways here. * + ableau 1. Using data from the upper half of the dashboard, compute the company's single plantwide overhead rate based on direct labor hours. 2. Using data from the upper half of the dashboard, compute the company's single plantwide overhead rate based on machine hours. 1. Plantwide overhead rate based on direct labor hours O per direct labor hour Estimated overhead costs Estimated direct labor hours 2. Plantwide overhead rate based on machine hours Estimated overhead conts O per machine hour Estimated machine hours
Expert Answer:
Answer rating: 100% (QA)
Answer 1 Departmental Overhead Rate Assembly Estimated Overhead Cos... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
Truckee Community Bank uses activity-based costing to assign overhead costs to two different loan productsstudent loans and auto loans. The bank identified the following activities, estimated costs...
-
Polaris must assign overhead costs to its products. Activity- based costing is generally considered more accurate than other methods of assigning overhead. If this is so, why do all manufacturers not...
-
Companies often set predetermined overhead rates to assign overhead costs to products and services. In such cases, a set amount is applied to product cost for each actual unit of predictor or driver...
-
Molly earns a gross yearly salary of $132,676. She has no dependent children and made the following tax deductible purchases: Charitable contributions: $5,401 Student loan interest: $1,429 When she...
-
What is the relationship between an interest-rate agreement and an option on an interest rate?
-
How did Mint.com go from launch to a $170 million acquisition in 24 months? The answer isnt as spectacular as you might think. Using a football metaphor, Mint.com did it more through blocking and...
-
What are some common causes of usage variances?
-
Central Michigan Medical Association (CMMA) is planning on hiring a new cardiologist who currently lives in Dallas, Texas. The cardiologist owns home in Dallas. Due to the depressed housing market,...
-
This question: 2 point(s) possible Submit quiz (Comprehensive problem) Over the past few years, Microsoft founder Bill Gates' net worth has fluctuated between $20 billion and $130 billion. In early...
-
Evaluate the function \(f(x, y)=\frac{2}{3} e^{-x / 2} \cos (y-1)\) for \(x=-0.23, y=2.7\) by: a. Using the subs command. b. Conversion into a MATLAB function.
-
Question 2 Francis owes a bank the amount which he agreed to pay in 2 years and another amount D O due in 5 years. Suppose money is worth 10% compounded semi-annually. Which of the following is the...
-
a. Name the five components of an internal control structure. b. In a financial statement audit, the auditor focuses on each component's relationship to entity objectives and related controls that...
-
The chapter describes societal and judicial factors that have served to increase the number of lawsuits, in general, and the number of lawsuits against auditors in particular. Identify the major...
-
Identify several parties that have roles and responsibilities related to an entity's internal control structure and briefly describe their roles and responsibilities.
-
Using the resources of your library, such as The Wall Street Journal Index, the Accountants Index, ABI Inform, and the Business Periodicals Index, prepare briefs of recent common-law cases brought...
-
How is management s risk assessment for financial reporting purposes similar to and different from the auditor's risk assessment?
-
Carrington Aero Manufacturing Corporation has 5,250 shares of cumulative, 8.5%, $50 par value preferred stock, and 18,000 shares of common stock with a par value of $2.00 per share. Last year the...
-
For the given transfer function: Vo(s) / Vi(s) = (s^2C^2R^2 + 1) / (s^2C^2R^2 + 4sCR + 1) Assumiing that 1/(CR) = 120 PI so write the matlab code to find the magnitude plot
-
Gogle Company recently began providing cafeteria services to its employees. Because revenue from the sale of food at the cafeteria does not fully cover cafeteria expenses, Gogle must pay for the...
-
Describe the five steps required to implement activity-based costing.
-
Southwest Corporation uses the weighted average method for its process costing system. The Assembly department at Southwest began the month of April with 6,000 units in work-in-process inventory, all...
-
Visit a local supermarket and make a list of ten products manufactured outside your country.
-
What kinds of foreign exchange risk would a U.S. company face that is exporting goods to Mexico? What kinds of things would you monitor to determine what will happen to the value of the Mexican peso?
-
Extract the annual report of a Fortune Global 500 company from a country different from your home country; use the site www.glgc.com/g600.html, or...
Study smarter with the SolutionInn App