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AutoSave O OFF A A E . G ... 3 Assignment 5 Activity Based Costing (2022-23) - Saved to my Mac Home Insert Draw Page

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AutoSave O OFF A A E . G ... 3 Assignment 5 Activity Based Costing (2022-23) - Saved to my Mac Home Insert Draw Page Layout Formulas Data Review View ? Tell me Share Comments Calibri (Body) v 11 AA ab Wrap Text v General Insert Ex AY- O. Ex Delete v v Z Paste BIUV DV Av E E Merge & Center v $ ~ % 9 Conditional Format Cell Sort & Find & Analyze Sensitivity Formatting as Table Styles Format Filter Select Data B1 X V fx A B C D E F G H K L M N 0 P Q Acton Company has two products: A and B. The annual production and sales of Product A are 800 units and of Product B are 500 units. The company has traditionally used direct labour-hours as the basis for applying all manufacturing overhead to products. Product A requires 0.3 direct labour-hours per unit and Product B requires 0.2 direct labour-hours per unit. The total estimated overhead for next period is $92,023. The company is considering switching to an activity-based costing system for the purpose of computing unit product costs for external reports. The new activity-based costing system would have three overhead activity cost pools-Activity 1, Activity 2, and General Factory-with estimated overhead costs and expected activity as follows: Activity Expected Activity Estimated Cost Pool Overhead Product A Product B Total 10 Costs 11 Activity 1 $14,487 500 600 1,100 12 Activity 2 $64,800 2,500 500 3,000 13 General Factory $12,736 240 100 340 14 Tota $92,023 15 16 (Note: The General Factory activity cost pool's costs are allocated based on direct labour-hours.) 18 19 20 Required 21 22 Part A Calculate the predetermined overhead rate per DLH under the traditional costing system. 23 24 25 Part B culate the overhead cost per unit of Product B under the traditional costing system 26 27 Calculate the predetermined overhead rate (i.e., activity rate) for Activity 1 under the 28 Part C activity-based costing system. 29 20 Instructions Question 1 Question 2 Question 3 Question 4 Assessment Criteria + Select destination and press ENTER or choose Paste + 100%

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