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 13. (Prior to completing this requirement, change all worksheet figures back to their original amounts.) B C D E A 1 Chapter 7: Applying Excel 2 3 Data 4 Manufacturing overhead 5 Selling and administrative overhead 6 $ 500,000 $ 300,000 7 Other Assembling Units 50% 10% Processing Orders 35% Supporting Customers 5% 10% 45% 20% 8 Manufacturing overhead 9 Selling and administrative overhead 10 Total activity 11 25% 100 1,000 250 units orders customers 1 customer 12 13 OfficeMart orders: 14 Customers 15 Orders 16 Number of filing cabinets ordered in total 17 Selling price 13 orders 80 units $ 595 10 Nirant materiale t 10n! Required information 1 Chapter 7: Applying Excel 2 3 Data 4 Manufacturing overhead 5 Selling and administrative overhead 6 $ 500,000 300,000 $ 7 Other Processing Orders 35% Assembling Units 50% 10% 1,000 Supporting Customers 5% 25% 10% 45% 8 Manufacturing overhead 9 Selling and administrative overhead 10 Total activity 11 20% 250 100 units orders customers 12 1 customer 13 OfficeMart orders: 14 Customers 15 Orders 16 Number of filing cabinets ordered in total 17 Selling price 18 Direct materials 19 Direct labor 13 orders 80 units 595 $ $ $ 180 50 Required information (a) What is the customer margin under activity-based costing when the number of orders increases to 13? (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 13? (Enter a loss as a negative amount.) Product margin under the traditional costing system (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.) B D E A Chapter 7: Applying Excel 1 2 3 4 Data Manufacturing overhead Selling and administrative overhead $ 500,000 5 $ 300,000 6 7 Other Assembling Units 50% Processing Orders 35% 35% Supporting Customers 5% 10% 10% 20% 8 Manufacturing overhead 9 Selling and administrative overhead 10 Total activity 11 35% 100 1,000 250 units orders customers 12 1 customer 13 orders 13 OfficeMart orders: 14 Customers 15 Orders 16 Number of filing cabinets ordered in total 17 Selling price 18 Direct materials 80 units $ 595 $ 180 19 Direct labor $ 50 (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 costing (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 D Required information 1 Chapter 7: Applying Excel 2 3 Data 4 Manufacturing overhead 5 Selling and administrative overhead 6 $ 500,000 300,000 $ 7 Other Processing Orders 35% Assembling Units 50% 10% 1,000 Supporting Customers 5% 25% 10% 45% 8 Manufacturing overhead 9 Selling and administrative overhead 10 Total activity 11 20% 250 100 units orders customers 12 1 customer 13 OfficeMart orders: 14 Customers 15 Orders 16 Number of filing cabinets ordered in total 17 Selling price 18 Direct materials 19 Direct labor 13 orders 80 units 595 $ $ $ 180 50 Required information (a) What is the customer margin under activity-based costing when the number of orders increases to 13? (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 13? (Enter a loss as a negative amount.) Product margin under the traditional costing system (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.) B D E A Chapter 7: Applying Excel 1 2 3 4 Data Manufacturing overhead Selling and administrative overhead $ 500,000 5 $ 300,000 6 7 Other Assembling Units 50% Processing Orders 35% 35% Supporting Customers 5% 10% 10% 20% 8 Manufacturing overhead 9 Selling and administrative overhead 10 Total activity 11 35% 100 1,000 250 units orders customers 12 1 customer 13 orders 13 OfficeMart orders: 14 Customers 15 Orders 16 Number of filing cabinets ordered in total 17 Selling price 18 Direct materials 80 units $ 595 $ 180 19 Direct labor $ 50 (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 costing (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 D