Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1) Kiki Co. has total budgeted fixed over head of $100,000, and budgeted variable overhead of $20 per unit for the coming period. Expected sales
1) Kiki Co. has total budgeted fixed over head of $100,000, and budgeted variable overhead of $20 per unit for the coming period. Expected sales are 40,000 units; expected production is 50,000 units; practical (maximum) capacity is 100,000 units. If Kiki Co. uses a normal costing system and a plantwide predetermined overhead rate, the budgeted overhead per unit is A) $22.50. B) $22.00. C) $21.00. D) none of the above (a, b, or c.) 2. Unused capacity costs should be A) allocated to all of the products using ABC. B) allocated to all of the products using traditional costing methods. C) reported as unused capacity and not allocated D) treated as a unit level cost and be allocated using ABC or traditional methods. THANK YOU
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started