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Carlise Corp., which manufactures ceiling fans, currently has two product lines, the Indoor and the Outdoor. Carlise has total overhead of $118,794. Carlise has
Carlise Corp., which manufactures ceiling fans, currently has two product lines, the Indoor and the Outdoor. Carlise has total overhead of $118,794. Carlise has identified the following information about its overhead activity cost pools and the two product lines: Activity Cost Pools Materials handling Quality control Cost Driver Number of moves Number of inspections Machine maintenance Number of machine hours Cost Assigned to Pool $19,364 $74,580 Quantity/Amount Consumed by Indoor Line 580 moves 5,500 inspections $24,850 28,000 machine hours Quantity/Amount Consumed by Outdoor Line 450 moves 5,800 inspections 7,000 machine hours Required: 1. Suppose Carlise used a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) Indoor Model Outdoor Model Total Overhead Assigned $ 2. Calculate the activity proportions for each cost pool in Carlise's ABC system. (Round your answers to 2 decimal places.)
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