Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

3. (6 points) Jardon Painting paints the interiors and exteriors of homes and commercial buildings. The company uses an activity-based costing system for its overhead

image text in transcribed
image text in transcribed
3. (6 points) Jardon Painting paints the interiors and exteriors of homes and commercial buildings. The company uses an activity-based costing system for its overhead costs. The company has provided the following data concerning its activity-based costing system Activity Activity Cost Pool Measure Annual Activity Painting....... Square meters 30,000 square meters Job support Jobs 1,100 jobs Other None Not applicable The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The company has already finished the first stage of the allocation process in which costs were allocated to the activity cost centers. The results are listed below: Job Painting Support Other Total $150,000 $110,000 $75,000 $335,000 Total... Required: a. Compute the activity rates (i.e., cost per unit of activity) for the Painting and Job Support activity cost pools by filling in the table below. Round off all calculations to the nearest whole cent. The "Other activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The company has already finished the first stage of the allocation process in which costs were allocated to the activity cost centers. The results are listed below: Job Painting Support Other Total $150,000 $110,000 $75,000 $335,000 Total....... Required: a. Compute the activity rates (i.e., cost per unit of activity) for the Painting and Job Support activity cost pools by filling in the table below. Round off all calculations to the nearest whole cent. Job Painting Support Activity Rate b. Prepare a Product Margin report for ONE job that involves painting 400 square meters and has direct materials cost of $1,000 and direct labor cost of $1,190. The total sales revenue from this job is $4,600

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

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

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

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

Get Started

Students also viewed these Accounting questions

Question

solve the following 3 4) y = ax + bx + cx +d (-2,5) (2, -1)

Answered: 1 week ago