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can someone help me with the Activity-based approach from the question 2 since all the similar posts here could not get me the right answer
can someone help me with the Activity-based approach from the question 2 since all the similar posts here could not get me the right answer for it
ABC and CVP Analysis: Multiple Products Good Scent, Inc, produces two colognes: Rose and Violet. Of the two, Rose is more popular. Data concerning the two products follow: Rose Violet Expected sales (in cases) 51,000 10,200 Selling price per case $103 $78 Direct labor hours 34,100 6,050 Machine hours 10,450 2,900 Receiving orders 48 25 Packing orders 101 46 Material cost per case $53 $45 Direct labor cost per case $10 $7 The company uses a conventional costing system and assigns overhead costs to products using direct labor hours. Annual overhead costs follow. They are classi fixed or variable with respect to direct labor hours. Fixed Variable Direct labor benefits $ $204,765 Machine costs 218,000* 236,885 Receiving department 228,500 Packing department 124,000 Total costs $570,500 $441,650 All depreciation Required: Previous Check My Work eBook Hp th in - khoangbeo500gril.com - Gram Get Homework Help With Chegg Study Chec Machine costs 218,000* 236,885 Receiving department 228,500 Packing department 124,000 Total costs $570,500 $441,650 All depreciation Required: 1. Using the conventional approach, compute the number of cases of Rose and the number of cases of Violet that must be sold for the company to break even. In your computations, round variable unit cost to the nearest cent and round the number of break-even packages to the nearest whole number. Break-even cases of Rose 15,610 Break-even cases of Violet 3,122 2. Using an activity-based approach, compute the number of cases of each product that must be sold for the company to break even. In your computations, round all computed amounts to the nearest cent and round the number of break-even packages to the nearest whole number. Break-even cases of Rose X Break-even cases of Violet Feedback Check My Work 1. Remember to calculate package contribution margin per unit. 2. Benefits and Machine costs are unit based variable costs. The CVP formula will utilize three costs that utilize X1 (number of packages) X2 (receiving orders) and X3 (packing orders). Previous Next eck My WorkStep by Step Solution
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