3 Activity Handling materials Inspecting product Processing purchase orders Paying suppliers Insuring the factory Designing packaging 181 points Expected Costs $655,000 930,000 135,000 205,000 330,000 105,000 Expected Activity 100,000 parts 1,500 batches 700 orders 500 invoices Skipped 40,000 square feet 2 models eBook Assume that the following information is available for the company's two products for the first quarter of this year. Print merece References Deluxe Model Basic Model Production volume 10,000 units 30,000 units Parts required 20,000 parts 30,000 parts Batches made 250 batches 100 batches Purchase 50 orders 20 orders orders Invoices 50 invoices 10 invoices Space occupied 10,000 sg. ft. 7,000 sg. ft Models 1 model 1 model Required: Compute activity rates for each activity and assign overhead costs to each product model using activity-based costing (ABC). What is the overhead cost per unit of each model? (Round activity rate and average OH cost per unit answers to 2 decimal places.) Activity Rate Cost driver quantity incurred OH Allocated Deluxe Activity Handing materials Inspecting product Processing orders Paying suppliers Insuring factory Designing packaging Activity Rate Cost driver quantity incurred OH Allocated Basic Activity Handling materials Inspecting product Processing orders Paying suppliers Insuring factory Designing packaging 10 0 0 0 0 9 181 points A company has two products: standard and deluxe. The company expects to produce 40,175 standard units and 66.040 deluxe units. It uses activity-based costing and has prepared the following analysis showing budgeted cost and cost driver activity for each of its three activity cost pools. Budgeted Activity of Cost Driver Activity Cost Pool Budgeted Cost Standard Deluxe Activity 1 $122,450 2,500 Activity 2 $130,000 4,500 5,500 Activity 3 $109,040 3,000 2,800 Skipped 5,250 eBook Required: 1. Compute overhead rates for each of the three activities. 2. What is the expected overhead cost per unit for the standard units? 3. What is the expected overhead cost per unit for the deluxe units? (Round activity rate and cost per unit answers to 2 decimal places.) Print bo References Expected Activity Activity Rate Driver Activity Expected Costs 1 $ 122.450 2 130,000 109,040 Standard Activity Activity Driver Activity Rate Allocated Cost 1 2 3 Deluxe Activity 1 Activity Driver Activity Rate Allocated Cost 2 3 10 Cardiff and Delp is an architectural firm that provides services for residential construction projects. The following data pertain to a recent reporting period, Costa 1.81 points Skipped Design department client consultation Modeling Project management department Supervision Blilings Collections Activities 1,100 contact hours 2,000 design hours 45,000 square feet 1,100 days 10 jobs 10 jobs $132,000 109,000 29,250 $176,000 9,300 19,500 Book Required: 1. & 2. Using ABC, compute the firm's activity overhead rates. Form activity cost pools where appropriate. Assign costs to a 9,000 square-foot job that requires 530 contact hours, 352 design hours, and 190 days to complete. (Round activity rate answers to 2 decimal places.) HIN Print Activity Expected Costs Expected Activity Driver Activity Rate Activity Driver Incurred Overhead Assigned References Client consultation Drawings Modeling Supervision Billings/Collection 0 0 0 Total overhead cost