2. Assume that OfficeMart places orders more frequently, but everything else remains the same. On your worksheet increase the number of orders from 4 to 23. (Prior to completing this requirement change all worksheet figures back to their original amounts.) B D E 1 Chapter 5: Applying Excel 2 3 Data 4 Manufacturing overhead 5 Seiling and administrative overtad 6 7 5 S 500,000 300,000 Assembling Units 50% 10% 1.000 units Processing Orders 35% 45% 250 orders Supporting Customers 5% 25% 100 customer Other 10% 20% 8. Manufacturing overhead 9 Selling and administrative overhead 10 Total activity 11 12 13 Mart Orders 14 Customers 15 Orders 16 Number of fing cabinets ordered in total 17 Salling once 18 Direct materials 19 Direct labor - customer 23 orders 80 unit 509 $ $ 5 180 50 (a) What is the customer margin under activity-based costing when the number of orders increases to 23? (Enter a loss as a negative amount.) Customer margin under activity-based costing (b) What is the product margin under the traditional costing system when the number of orders increases to 23? (Enter a loss as a negative amount.) Product margin under the traditional conting nyatem (c) Which of the following statements are true? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) a customer orders more frequently, but orders the same total number of units over the course of a year, the customer margin under activity based costing will decrease (c) Which of the following statements are true? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) DIf a customer orders more frequently, but orders the same total number of units over the course of a year, the customer margin under activity based costing will decrease. a customer orders more frequently, but orders the same total number of units over the course of a year, the product margin under a traditional costing system will decrease. a customer orders more frequently, but orders the same totat number of units over the course of a year, the customer margin under activity based costing will be unaffected a customer orders more frequently, but orders the same total number of units over the course of a year, the product margin under a traditional costing system will be unaffected 3. OmiceMart has found an error in its date. The percentage of seling and administrative overhead attributable to processing orders should be changed to 30% from 45% and the percentage attributable to supporting customers should be changed to 40% from 25% B D E 1 Chapter 5: Applying Excel 2 Data Manufacturing overhead 5 Seling and administrative overhead 6 7 4 $ $ 500,000 300,000 Other Assembling Units 50% Processing Orders 35% Supporting Customers 5% Manufacturing overhead 10% 8 Lucia, ULVILLE VILE VILE ULTET Required information 3. OfficeMart has found an error in its data. The percentage of selling and administrative overhead attributable to processing orders should be changed to 30% from 45% and the percentage attributable to supporting customers should be changed to 40% from 25%. B D E 1 Chapter 5: Applying Excel 2 3 Data 4 Manufacturing overhead 5 Selling and administrative overhead 6 $ $ 500,000 300,000 7 Assembling Units 50% 10% 1,000 units Processing Orders 35% 30% 250 orders Supporting Customers 5% 40% 100 customers Other 10% 20% 8 Manufacturing overhead 9 Selling and administrative overhead 10 Total activity 11 12 13 Office Martorders 14 Customers 15 Orders 16 Number of filing cabinets ordered in total 17 Selling price 18 Direct materials 19 Direct labor 1 customer 23 orders BO units 595 180 50 $ $ S (a) Based on new number of orders in Requirement 2, what is the customer margin under activity-based costing when the data are corrected? (Enter a loss as a negative amount.) Customer margin under activity based posting (b) Based on new number of orders in Requirement 2, what is the product margin under the traditional costing system when the data are corrected? (Enter a loss as a negative amount.) Product margin under the traditional costing system