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Can you help to solve these problems please? Problem 144C& W Corporation manufactures travel clocks and watches. Overhead costs Activity-based costing verus are currently allocated
Can you help to solve these problems please?
Problem 144C& W Corporation manufactures travel clocks and watches. Overhead costs Activity-based costing verus are currently allocated using direct labor-hours, but the controller has recom mended using an activity-based costing system based on the following data: traditional costing (L0. 8, 9) CHAPTER FOURTEEN 491 Activity Lavel Cost Driver Actiity Production setup Msterial handling and requstion Cost Trv Clocs Wats 30 36 0,000 80,000 120,000 Setups 100,000 20 0,000 24 Packaging and shipping Units shipped Total overhead 190,000 a. Compute the amount of total overhead llocated to each of the productsREQUIRED under activity-based costing. Compute the amount of total overhead allocated to each product using labor-hours as the allocation base. Assume labor-hours required to assemble cach unit are 5 per travel clock and 1.0 per watch, and that 80,000 travel clocks and 120,000 watches were produced b. c. Should the company follow the controller's recommendations
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