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Aunt Dorothy Snacks just received an order to produce 11,000 single-serving bags of gourmet, fancy-cut, sweet potato chips. The order will require 15 preparation
Aunt Dorothy Snacks just received an order to produce 11,000 single-serving bags of gourmet, fancy-cut, sweet potato chips. The order will require 15 preparation hours and 30 cooking and draining hours. (Click the icon to view the relevant activity rates.) Read the requirements. 1. What is the total amount of manufacturing overhead that should be allocated to this order? Determine the basic formula needed to allocate overhead to this order, then compute the overhead allocated to each activity. Manufacturing Activity cost allocation rate Allocated activity cost Estimated total indirect cost Data table overhead allocated Requirements Activity Cost Activity Allocation Rate Cost Driver Use the activity rates provided to compute the following: 1. What is the total amount of manufacturing overhead that should be allocated to this order? Preparation.... 50.00 Preparation time 2. How much manufacturing overhead should be assigned to each bag? 3. Cooking and draining $ 30.00 Cooking and draining time What other costs will the company need to consider to determine the total manufacturing costs of this order? Packaging. $ 0.05 Units packaged Print Done Print Done Aunt Dorothy Snacks just received an order to produce 11,000 single-serving bags of gourmet, fancy-cut, sweet potato chips. The order will require 15 preparation hours and 30 cooking and draining hours. (Click the icon to view the relevant activity rates.) Read the requirements. 1. What is the total amount of manufacturing overhead that should be allocated to this order? Determine the basic formula needed to allocate overhead to this order, then compute the overhead allocated to each activity. Manufacturing overhead allocated Allocated activity cost Cost driver (actual use) Estimated total indirect cost
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