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Chapter 4 Homework 3 5 points Saved PA4-3 (Algo) Selecting Cost Drivers, Assigning Costs Using Activity Rates [LO 4-1, 4-3, 4-4, 4-6 ] Harbour
Chapter 4 Homework 3 5 points Saved PA4-3 (Algo) Selecting Cost Drivers, Assigning Costs Using Activity Rates [LO 4-1, 4-3, 4-4, 4-6 ] Harbour Company makes two models of electronic tablets, the Home and the Work. Basic production information follows: Home Work Sipped Direct materials cost per unit 5 38 Direct labor cost per unit Sales price per unit 20 8:63 37 353 Expected production per month 720 units 320 units eBook Print Harbour has monthly overhead of $164,455, which is divided into the following cost pools: References Setup coats Quality control Maintenance Total $ 74,520 53,535 36,400 $164,455 The company has also compiled the following information about the chosen cost drivers: Number of setups Number of inspections Home 40 Work 52 Total 92 320 325 645 Number of machine hours 1,000 1,000 2,000 Required: 1. Suppose Harbour uses 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.) Help Save & Exit Check
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