6. Houseal Corporation has provided the following data from its activity-based costing system:

Data concerning one of the company's products, Product W58B, appear below

According to the activity-based costing system, the product margin for product W58B is:

$3,668.60 $5,975.60 $5,515.40 $19,418.40

7. Millner Corporation has provided the following data from its activity-based costing accounting system

The activity rate for the "designing products" activity cost pool is closest to:

$101 per product design hour $1,372,448 per product design hour $176 per product design hour $57 per product design hour

8. The usual starting point for a master budget is:

the direct materials purchase budget. the budgeted income statement. the sales forecast or sales budget. the production budget.

9. Which of the following benefits could an organization reasonably expect from an effective budget program?

Better control of the organization's costs. Better coordination of an organization's activities. Better communication of the organization's objectives. All of these.

10. A basic idea underlying __________________ is that a manager should be held responsible only for those items that the manager can actually control to a significant extent.

participative budgeting planning and control responsibility accounting the master budget

11. The manufacturing overhead budget at Foshay Corporation is based on budgeted direct labor-hours. The direct labor budget indicates that 5,800 direct labor-hours will be required in May. The variable overhead rate is $9.10 per direct labor-hour. The company's budgeted fixed manufacturing overhead is $104,400 per month, which includes depreciation of $8,120. All other fixed manufacturing overhead costs represent current cash flows. The company recomputes its predetermined overhead rate every month. The predetermined overhead rate for May should be:

$9.10 $27.10 $18.00 $25.70