Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Calverton, Inc. produces two different products (Standard and Luxury) using two different activities: Machining, which uses machine hours as an activity driver and Inspection, which
Calverton, Inc. produces two different products (Standard and Luxury) using two different activities: Machining, which uses machine hours as an activity driver and Inspection, which uses number of batches as an activity driver. The cost of Machining is $560,000, while the cost of Inspection is $33,600 Standard is assigned $201,600 in Machining cost, and $25.200 in Inspection cost. What proportion of Machining activity is used by Standard? Multiple Choice O 49% 39 30 50 Lynwood, Inc. produces two different products (Product A and Product X) using two different activities: Machining, which uses machine hours as an activity driver, and inspection, which uses number of batches as an activity driver. The activity rate for Machining is $220 per machine hour, and the activity rate for Inspection is $500 per batch. The activity drivers are used as follows. Product A Product X Total Machine hours 1,400 3,500 4,900 Number of batches 53 16 69 What is the amount of Inspection cost assigned to Product A? Multiple Choice $26,500 $308.000 $34.500 $8.000 Lynwood, Inc. produces two different products (Product A and Product X) using two different activities: Machining, which uses machine hours as an activity driver, and inspection, which uses number of batches as an activity driver. The activity rate for Machining is $130 per machine hour, and the activity rate for Inspection is $520 per batch. The activity drivers are used as follows: Product A Product X Total Machine hours 1,200 3,200 4,400 Number of batches 46 16 62 What is the amount of Machining cost assigned to Product A? Multiple Choice 59.500 $416,000 a $156.000 $520,000 Jefferson, Inc. produces two different products (Product 5 and Product Z) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The cost of Machining is $324,000, while the cost of Inspection is $37.000. The activity drivers are used as follows: Product 5 Product z Total Machine hours 3,240 2,160 5,400 Number of batches 28 42 70 What proportion of Inspection activity is used by Product Z? Multiple Choice 32 40% 50 585 Jefferson, Inc. produces two different products (Product 5 and Product Z) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The cost of Machining is $145,800, while the cost of Inspection is $41.760. The activity drivers are used as follows: Product 5 Product z Total Machine hours 1,458 3,942 5,400 Number of batches 47 25 72 What proportion of Mochining activity is used by Product Z? Multiple Choice O 27% 65% 73% 35
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