Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

2, 3 & 4. Compute the activity overhead rates using ABC. Combine the grinding and polishing activities into a single cost pool. Determine overhead costs

2, 3 & 4. Compute the activity overhead rates using ABC. Combine the grinding and polishing activities into a single cost pool. Determine overhead costs to assign to the following jobs using ABC. What is the overhead cost per unit for Job 3175? What is the overhead cost per unit for Job 4286? (Round your activity rate and average overhead cost per unit to 2 decimal places. Round "overhead assigned" to the nearest whole dollar.) Job 3175 Overhead Cost Activity Drivers Activity Rate Activity driver incurred Activity Grinding & Polishing Overhead assigned Activity dri incurred Machine hours Product modification Engineering hrs. Providing power Direct labor hrs. System calibration batchesPlease help

image text in transcribed
Line following Information applies to the questions displayed below.] Craft Pro Machining produces machine tools for the construction industry. The following details about overhead costs were taken from its company records. Production Activity Indirect Labor Indirect Materials Other Overhead Grinding $350, 000 Polishing $225, 000 Product modification 550, 000 Providing power $265, 000 System calibration 510 , 000 Additional information on the drivers for its production activities follows. Grinding 10,000 machine hours Polishing 10,000 machine hours Product modification 2,000 engineering hours Providing power 19,000 direct labor hours System calibration 1,500 batches Job 3175 Job 4286 Number of units 130 units 1, 625 units Machine hours 250 MH 2, 500 MH eng . Engineering hours eng. 33 hours 24 hours Batches 15 batches 45 batches Direct labor hours 500 DLH 4,500 DLH

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Government and Not-for-Profit Accounting Concepts and Practices

Authors: Michael H. Granof, Saleha B. Khumawala, Thad D. Calabrese, Daniel L. Smith

8th edition

1119495814, 1119495857, 1119495819, 9781119495819 , 978-1119495857

More Books

Students also viewed these Accounting questions

Question

How can sensitivity to pain be altered?

Answered: 1 week ago

Question

What does stickiest refer to in regard to social media

Answered: 1 week ago