Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A local picnic table manufacturer has budgeted these overhead costs: Purchasing $70,000 Handling Materials 33,250 Machine Setups 67,200 Inspections 19,600 Utilities 34,000 They are considering

image text in transcribed
image text in transcribed
A local picnic table manufacturer has budgeted these overhead costs: Purchasing $70,000 Handling Materials 33,250 Machine Setups 67,200 Inspections 19,600 Utilities 34,000 They are considering adapting ABC costing and have estimated the cost drivers for each pool as shown: Cost Driver Activity Orders 700 Material Moves 1,330 Machine Setups 14,000 Number of Inspections 4,000 Square Feet 170,000 Recent success has yielded an order for 900 tables. Assume direct labor costs per hour of $20. Activity 900 112,700 Order, Units Direct Materials Machine Hours Direct Labor Hours 15,300 5,400 Number of Purchase Orders 60 900 Direct Materials 112,700 Machine Hours 15,300 Direct Labor Hours 5,400 Number of Purchase Orders 60 Number of Material Moves 750 Number of Machine Setups 110 Number of Inspections 500 Number of Square Feet Occupied 8,000 Determine how much the job would cost given the following activities: Do not round intermediate computations and round final answers to nearest whole number. Cost Assigned Direct Materials Direct Labor Number of Material Moves Number of Machine Setups Number of Inspections Number of Square Feet Occupied Total Order Cost

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

Secretarial Audits Under Corporate Laws And Annual Return Certification

Authors: CS Shilpa Dixit And CS Amogh Diwan CS Milind Kasodekar

1st Edition

9389449324, 978-9389449327

More Books

Students also viewed these Accounting questions

Question

Explain how cultural differences affect business communication.

Answered: 1 week ago

Question

List and explain the goals of business communication.

Answered: 1 week ago