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ALL DATA / INFO IS IN PHOTO PLEASE DO ALL REQUIRMENTS: 1 . Robert's original single plantwide overhead allocation rate costing system allocated indirect costs
ALL DATAINFO IS IN PHOTO
PLEASE DO ALL REQUIRMENTS:
Robert's original single plantwide overhead allocation rate costing system allocated indirect costs to products at $ per machine hour. Compute the total indirect costs allocated to the commercial containers and to the travel packs under the original system. Then compute the indirect cost per unit for each product. Round to two decimal places.
Compute the predetermined overhead allocation rate for each activity.
Use the predetermined overhead allocation rates to compute the activitybased costs per unit of the commercial containers and the travel packs. Round to two decimal places. Hint: First compute the total activitybased costs allocated to each product line, and then compute the cost per unit.
Compare the indirect activitybased costs per unit to the indirect costs per unit from the traditional system. How have the unit costs changed? Explain why the costs changed.
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