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Ambrose Corporation has one support department, Engineering Services, and two production departments, Machining and Assembly. The following data relate to the 2017 budget for the
Ambrose Corporation has one support department, Engineering Services, and two production departments, Machining and Assembly. The following data relate to the 2017 budget for the Engineering Services Department: (Click the icon to view the budget data for 2017.) Read the requirements Budgeted total rate per hour is Now, we can allocate the engineering-services costs to the machining and assembly departments, under the single-rate method. Data Table Machining department: Assembly department: 12.500 hours ment Requirement 2. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) fixed costs are Before completing the allocation, calculate the budgeted fixed cost rate per hour. Requirements Budgeted fixed cost rate per hour is Practical capacity Fixed costs of the Engineering Services Department in the 11.500 labor-hour to 12.500 labor-hour relevant range Budgeted usage quantity) of engineering services labor-hours required to support the productions departments: Machining department $300.000 Now we can complete the allocation. Begin with the Machining Department 4.000 hours 8.500 hours Fixed costs Assembly department 12.500 hours Variable costs Total costs S40 per hour used Now, allocate the costs to the Assembly Department Total Budgeted variable cost per engineering services labor-hour in the 11,500 labor-hour to 12,500 labor-hour relevant range Actual usage (quantity) of engineering services labor-hours required to support the production departments: Machining department Assembly department Fixed costs 3.500 hours 8.000 hours 1. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budgeted costs and budgeted quantity of Engineering Services and allocated based on actual Engineering Services hours used in each department. 2. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) fixed costs are allocated based on budgeted fixed costs per hour and the budgeted number of hours for each department. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocated based on actual Engineering Services hours used in each department 4. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) the fixed-cost allocation rate is based on budgeted costs and practical capacity Engineering Services Department and allocated based on budgeted Engineering Services hours used in each department. Variable costs 11.500 hours Total costs Total ctual En Requirement 3. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budget Begin by determining the budgeted total-cost rate per hour. (Round your answer to the nearest cent.) Print Done Budgeted total-cost rate per hour is Now, we can allocate the engineering-services costs to the machining and assembly departments, under the single-rate method, based on actual hours used in each Machining department Assembly department: Print Done Requirement 4. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based Oruc vuuycicu Vivic cost per nOI TOI QUI NOUS USCU Caciuepartment and we need-cost allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocat used in each department Begin with the Machining Department. Fixed costs Variable costs Total costs Now, allocate the costs to the Assembly Department. Fixed costs Enter any number in the edit fields and then continue to the next question. Read the requirements Now, we can allocate the engineering-services costs to the machining and assembly departments, under the single-rate method. Machining department: Assembly department: Data Table ment Requirement 2. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) fixed costs are Before completing the allocation, calculate the budgeted fixed cost rate per hour. 12.500 hours Budgeted fixed cost rate per hour is Now we can complete the allocation. Begin with the Machining Department Practical capacity Fixed costs of the Engineering Services Department in the 11,500 labor-hour to 12,500 labor-hour relevant range Budgeted usage quantity) of engineering services labor-hours required to support the productions departments: Machining department $300,000 Requirements Fixed costs Variable costs 4.000 hours 8,500 hours Total costs Assembly department 12.500 hours Now, allocate the costs to the Assembly Department Fixed costs S40 per hour used Variable costs Total Budgeted variable cost per engineering services labor-hour in the 11.500 labor-hour to 12,500 labor-hour relevant range Actual usage (quantity) of engineering services labor-hours required to support the production departments: Machining department Assembly department Total costs 3.500 hours 8.000 hours 1. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budgeted costs and budgeted quantity of Engineering Services and allocated based on actual Engineering Services hours used in each department. 2. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) fixed costs are allocated based on budgeted fixed costs per hour and the budgeted number of hours for each department. 3. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocated based on actual Engineering Services hours used in each department 4. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) the fixed-cost allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocated based on budgeted Engineering Services hours used in each department. Requirement 3. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budget Begin by determining the budgeted total-cost rate per hour. (Round your answer to the nearest cent.) ctual En 11.500 hours Total Budgeted total-cost rate per hour is Print Now, we can allocate the engineering-services costs to the machining and assembly departments, under the single-rate method, based on actual hours used in each Machining department Assembly department: Requirement 4. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based o used in each department Begin with the Machining Department. ed-cost allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocat Print Done Fixed costs Variable costs Total costs Now, allocate the costs to the Assembly Department. Fixed costs Variable costs Total costs Ambrose Corporation has one support department, Engineering Services, and two production departments, Machining and Assembly. The following data relate to the 2017 budget for the Engineering Services Department: (Click the icon to view the budget data for 2017.) Read the requirements Budgeted total rate per hour is Now, we can allocate the engineering-services costs to the machining and assembly departments, under the single-rate method. Data Table Machining department: Assembly department: 12.500 hours ment Requirement 2. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) fixed costs are Before completing the allocation, calculate the budgeted fixed cost rate per hour. Requirements Budgeted fixed cost rate per hour is Practical capacity Fixed costs of the Engineering Services Department in the 11.500 labor-hour to 12.500 labor-hour relevant range Budgeted usage quantity) of engineering services labor-hours required to support the productions departments: Machining department $300.000 Now we can complete the allocation. Begin with the Machining Department 4.000 hours 8.500 hours Fixed costs Assembly department 12.500 hours Variable costs Total costs S40 per hour used Now, allocate the costs to the Assembly Department Total Budgeted variable cost per engineering services labor-hour in the 11,500 labor-hour to 12,500 labor-hour relevant range Actual usage (quantity) of engineering services labor-hours required to support the production departments: Machining department Assembly department Fixed costs 3.500 hours 8.000 hours 1. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budgeted costs and budgeted quantity of Engineering Services and allocated based on actual Engineering Services hours used in each department. 2. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) fixed costs are allocated based on budgeted fixed costs per hour and the budgeted number of hours for each department. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocated based on actual Engineering Services hours used in each department 4. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) the fixed-cost allocation rate is based on budgeted costs and practical capacity Engineering Services Department and allocated based on budgeted Engineering Services hours used in each department. Variable costs 11.500 hours Total costs Total ctual En Requirement 3. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budget Begin by determining the budgeted total-cost rate per hour. (Round your answer to the nearest cent.) Print Done Budgeted total-cost rate per hour is Now, we can allocate the engineering-services costs to the machining and assembly departments, under the single-rate method, based on actual hours used in each Machining department Assembly department: Print Done Requirement 4. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based Oruc vuuycicu Vivic cost per nOI TOI QUI NOUS USCU Caciuepartment and we need-cost allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocat used in each department Begin with the Machining Department. Fixed costs Variable costs Total costs Now, allocate the costs to the Assembly Department. Fixed costs Enter any number in the edit fields and then continue to the next question. Read the requirements Now, we can allocate the engineering-services costs to the machining and assembly departments, under the single-rate method. Machining department: Assembly department: Data Table ment Requirement 2. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) fixed costs are Before completing the allocation, calculate the budgeted fixed cost rate per hour. 12.500 hours Budgeted fixed cost rate per hour is Now we can complete the allocation. Begin with the Machining Department Practical capacity Fixed costs of the Engineering Services Department in the 11,500 labor-hour to 12,500 labor-hour relevant range Budgeted usage quantity) of engineering services labor-hours required to support the productions departments: Machining department $300,000 Requirements Fixed costs Variable costs 4.000 hours 8,500 hours Total costs Assembly department 12.500 hours Now, allocate the costs to the Assembly Department Fixed costs S40 per hour used Variable costs Total Budgeted variable cost per engineering services labor-hour in the 11.500 labor-hour to 12,500 labor-hour relevant range Actual usage (quantity) of engineering services labor-hours required to support the production departments: Machining department Assembly department Total costs 3.500 hours 8.000 hours 1. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budgeted costs and budgeted quantity of Engineering Services and allocated based on actual Engineering Services hours used in each department. 2. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) fixed costs are allocated based on budgeted fixed costs per hour and the budgeted number of hours for each department. 3. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocated based on actual Engineering Services hours used in each department 4. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based on the budgeted variable cost per hour for actual hours used in each department and (b) the fixed-cost allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocated based on budgeted Engineering Services hours used in each department. Requirement 3. Using the single-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if the allocation rate is based on budget Begin by determining the budgeted total-cost rate per hour. (Round your answer to the nearest cent.) ctual En 11.500 hours Total Budgeted total-cost rate per hour is Print Now, we can allocate the engineering-services costs to the machining and assembly departments, under the single-rate method, based on actual hours used in each Machining department Assembly department: Requirement 4. Using the dual-rate method, calculate the cost to be allocated to the Machining and Assembly Departments if (a) variable costs are allocated based o used in each department Begin with the Machining Department. ed-cost allocation rate is based on budgeted costs and practical capacity of Engineering Services Department and allocat Print Done Fixed costs Variable costs Total costs Now, allocate the costs to the Assembly Department. Fixed costs Variable costs Total costs
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