Question
Advanced Products Corporation has supplied the following data from its activity-based costing system: Overhead CostsWages and salaries$300,000Other overhead costs200,000Total overhead costs$500,000 Activity Cost PoolActivity MeasureTotal
Advanced Products Corporation has supplied the following data from its activity-based costing system:
Overhead CostsWages and salaries$300,000Other overhead costs200,000Total overhead costs$500,000
Activity Cost PoolActivity MeasureTotal ActivityDirect labor supportNumber of direct labor-hours10,000DLHsOrder processingNumber of customer orders500ordersCustomer supportNumber of customers100customersOtherThis is an organization-sustaining activityNot applicable
Distribution of Resource Consumption Across ActivitiesDirect Labor SupportOrder ProcessingCustomer SupportOtherTotalWages and salaries30%20%20%30%100%Other overhead costs20%30%30%20%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 OrderUnits ordered80unitsDirect labor-hours0.5DLHper unitSelling price$295per unitsDirect materials$280per unitDirect labor$24per DLH
Compute the activity rates for the activity cost pools.using excel formula
produce a report showing the overhead costs for the order from Shenzhen Enterprises including customer support costs using excel formula.(Round your intermediate calculations to 2 decimal places.)
Produce a report showing the customer margin for Shenzhen Enterprises using excel.
Produce an action analysis report showing the customer margin for Shenzhen Enterprises. Direct materials should be coded as a Green cost, direct labor and wages and salaries as Yellow costs, and other overhead costs as a Red cost using excel.
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