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Chipman Inc. produces water pumps. Overhead costs have been identified as follows: Activity Pool Cost Material handling $ 64,680.00 Material maintenance $ 109,500.00 Setups $
Chipman Inc. produces water pumps. Overhead costs have been identified as follows:
Activity Pool | Cost | |
Material handling | $ | 64,680.00 |
Material maintenance | $ | 109,500.00 |
Setups | $ | 79,232.00 |
Activity Driver | Activity |
Number of moves | 420 |
Number of machine hours | 36,500 |
Number of production runs | 64 |
Chipman makes 3 models of pumps with the following details:
Economy | Standard | Premium | |
Units produced | 10,050 | 20,500 | 3,520 |
Number of moves | 113 | 134 | 173 |
Machine hours | 9,850 | 20,300 | 6,350 |
Production runs | 22 | 15 | 27 |
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