Company XYZ has 6 standard products from stainless steel and brass. The company's most popular product is Product XX. The information below shows Product XX's data for next year's budget. Using this information,

a) calculate the budgeted overhead costs using activity-based costing principles,

b) calculate the budgeted overhead costs using absorption costing (absorb overhead using machine hours), and

c) how can the company reduce the ABC for Product XX:

1. ___________________
2. ___________________
3. ___________________

DeABC Document1 Q Home Insert Draw Design Layout References Mailings Review View Tell me Share Comments Helvetica N... v 12 A" A Aa Ap EV EVEVEE AaBbCcDdEe AaBbCcDdEe AaBbCcDc AaBbCcDdE AaBb( AaBbCCDdEE Paste BIUvab X X A LA Norma No Spacing Heading 1 Heading 2 Title Subtitle Styles Dictate Sensitivity Pane Customer AAA BBB Component Type A999 B999 Contract Value ($) $27,000 $100,000 Contract Quantity 1,000 unit 2,000 unit Material cost/unit $15 $20 Moulding time/batch| 5 hours 7.5 hours Batch size 100 units 50 units Activity Cost Driver Cost Driver Volume/Yr. Cost Pool Purchasing Purchase orders 1,500 $75,000 Setting Batches produced 2,800 $112,000 Materials handling | Materials movements 8,000 $96,000 Inspection Batches produced 2,800 $70,000 Machining costs Machine hours 50,000 $150,000 Purchase orders 25 Output 15,000 units Production batch size 100 units Materials movements per batch |6 Machine hours per unit 0.1 Page 1 of 1 90 words X English (United States) Focus E + 130%