Answered step by step
Verified Expert Solution
Question
1 Approved Answer
c Please do all parts and the thumbs up is yours. Singh and Danzin is an architectural firm that provides services for residential construction projects.
c
Singh and Danzin is an architectural firm that provides services for residential construction projects. The following overhead cost data are from the current period. Activity Budgeted Costs Budgeted Activity Usage Client consultation $ 271,500 1,500 contact hours Drawings 116,000 2,000 design hours 1. Compute an activity rate for each activity using activity-based costing, 2. Allocate overhead cost to a job that requires 16 contact hours and 341 design hours: Compute an activity rate for each activity using activity-based costing (Round "Activity rate to 2 decimal places) Activity Budgeted Cost Budgeted Activity Usage Activity Rate Client consultation Drawings 2. Aloe verhand cost to a ph that requires a contact hours and 341 design hours and Activity Ratto decimate and man who count Activity Activity Usage Activity Rate Allocated Cost Clent consultation Drawings 0 Northwest Company produces two types of glass shelving: rounded edge and squared edge. The company reports the following cost data Rounded Edge Squared Edge Total Direct materials $ 32,400 $41,400 $ 76,800 Direct labor 10,300 29,600 40,400 Overhead (using plantiderate) 39,000 75,400 114,400 Total product cost $ 82,200 $ 149,400 $ 231,600 Units produced 10,300 14,800 Product cost per unit $ 7.61 $10.09 Northwest's controller wants to apply activity-based costing to allocate the $114,400 of overhead cost to the two products to see whether product cost per unit would change markedly from that above. The company's budgeted activity usage equals its actual activity usage for the period. The following additional information is collected, Activity Usare Activity Budgeted Cost Activity Cast Driver Rounded Edge Squared Edge Total Purchasing $ 5,800 Purchase orders 129 orders 451 orders 588 orders Depreciation of machinery 59,800 Machine hours 500 hours 1.500 hours 2.000 hours Setup 48.000 Setups 10 Setup 210 setups 250 setups Total $ 114,400 Required: 1. Compute the activity rate for each activity using activity based costing, 2. Compute overhead cost per unit for each of the two products using activity-based costing 3. Determine product cost per unit for each of the two products using activity based costing. Required 1 Required 2 Required 3 Compute the activity rate for each activity using activity based costing. (Round "Activity rate" to 2 decimal places.) Budgeted Cost Budgeted Activity Usage Activity Rate Activity Purchasing Depreciation Setup Required Required 2 > Compute overhead cost per unit for each of the two products using activity-based costing. (Round "Activity Rate" to 2 decimal places and other answers to the nearest whole dollar amount.) Overhead cost per unit-Rounded Edge Activity Activity Usage Activity Rate Allocated Cost Purchasing Depreciation Setup Total allocated cost $ Units produced Overhead cost per unit 0 0 Activity Usage Activity Rate Allocated Cost Overhead cost per unit-Squared Edge Activity Purchasing Depreciation Setup Totulatiocated cost Units produced Overhead cost per un S 0 0 Required: 1. Compute the activity rate for each activity using activity-based costing. 2. Compute overhead cost per unit for each of the two products using activity-based costing. 3. Determine product cost per unit for each of the two products using activity-based costing. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Determine product cost per unit for each of the two products using activity-based costing. (Round int and final answers to 2 decimal places.) Direct Materials Direct Labor Overhead Product Cost per Unit Per Unit Rounded Edge Squared Edge Please do all parts and the thumbs up is yours.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started