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Advanced Products Corporation has supplied the following data from its activity-based costing system: Overhead Costs $ , Wages and salaries Other overhead costs 100, 000

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Advanced Products Corporation has supplied the following data from its activity-based costing system: Overhead Costs $ , Wages and salaries Other overhead costs 100, 000 $ 400,000 Total overhead costs Total Activity for the Activity Cost Pool Supporting direct labor Order processing Customer support Other Activity Measure Number of direct labor-hours Number of customer orders Number of customers This is an organization- sustaining activity Year 20,000 DLHS 400 orders 200 customers Not applicable Distribution of Resource Consumption Across Activities Supporting Direct Labor Order Processing 40% Customer Other 10% Total 100% Support 20% Wages and salaries Other overhead costs 30% 30% 10% 20% 40% 100% During the year, Advanced Products completed one order for a new customer, Shenzhen Enterprises. This customer did not order any other products during the year. Data concerning that order follow: Data Concerning the Shenzhen Enterprises Order 10 units 2 DLHS per unit $ 300 per unit $ 180 per unit $ 50 per unit Units ordered Direct labor-hours Selling price Direct materials Direct labor Required: 1. Prepare a report showing the first-stage allocations of overhead costs to the activity cost pools. 2. Compute the activity rates for the activity cost pools. 3. Calculate the total overhead costs for the order from Shenzhen Enterprises including customer support costs. 4. Calculate the customer margin for Shenzhen Enterprises. Required 1 Required 2 Required 4 Required 3 Prepare a report showing the first-stage allocations of overhead costs to the activity cost pools. Direct Labor Order Customer Support Processing Support Other Totals Wages and salaries Other overhead costs Total cost Required 3 Required 2 Required 4 Required 1 Compute the activity rates for the activity cost pools. (Round the "Direct labor support" to 2 decimal places.) Activity Rate Activity Cost Pool Supporting direct labor per DLH Order processing per order Customer support per customer Required 1 Required 2 Required 4 Required 3 Calculate the total overhead costs for the order from Shenzhen Enterprises including customer support costs. ABC Cost Activity Cost Pool Supporting direct labor Order processing Customer support Total Required 1 Required 2 Required 3 Required 4 Calculate the customer margin for Shenzhen Enterprises. Shenzhen Enterprises Customer Margin-ABC Analysis Costs: Customer margin

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