1.

The controller of Ferrence Company estimates the amount of materials handling overhead cost that should be allocated to the company's two products using the data that are given below:

	Wall Mirrors	Specialty Windows
Total expected units produced	11600	1960
Total expected material moves	1160	1860
Expected direct labor-hours per unit	14	5

The total materials handling cost for the year is expected to be $16,638.70.

If the materials handling cost is allocated on the basis of direct labor-hours, the total materials handling cost allocated to the Wall Mirrors is closest to: (Round your intermediate calculations to 4 decimal places.)

$15,688 / $10,527 / $8,878 / $13,855

2.

The controller of Ferrence Company estimates the amount of materials handling overhead cost that should be allocated to the company's two products using the data that are given below:

	Wall Mirrors	Specialty Windows
Total expected units produced	12300	1880
Total expected material moves	1230	1780
Expected direct labor-hours per unit	12	6

The total materials handling cost for the year is expected to be $16,992.30.

If the materials handling cost is allocated on the basis of material moves, total materials handling cost allocated to the Specialty Windows is closest to:? (Round your intermediate calculations to 4 decimal places.)

$9,018 / $7,370 / $10,049 / $4,041

Bevard Nuptial Bakery makes very elaborate wedding cakes to order. The company has an activity-based costing system with three activity cost pools. The activity rate for the Size-Related activity cost pool is $0.83 per guest. (The greater the number of guests, the larger the cake.) The activity rate for the Complexity-Related cost pool is $31.89 per tier. (Cakes with more tiers are more complex.) Finally, the activity rate for the Order-Related activity cost pool is $82.34 per order. (Each wedding involves one order for a cake.) The activity rates include the costs of raw ingredients such as flour, sugar, eggs, and shortening. The activity rates do not include the costs of purchased decorations such as miniature statues and wedding bells, which are accounted for separately.

Data concerning two recent orders appear below:

	Euertz Wedding	Sparacio Wedding
Number of reception guests	72	189
Number of tiers on the cake	8	13
Cost of purchased decorations for cake	24.20	79.65

Assuming that the company charges $787.41 for the Sparacio wedding cake, what would be the overall margin on the order?

$132.17 / $125.84 / $733.43 / $23.98