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Craft Pro Machining produces machine tools for the construction industry. The following details about overhead costs were taken from its company records. Production Activity Indirect
Craft Pro Machining produces machine tools for the construction industry. The following details about overhead costs were taken from its company records. Production Activity Indirect Labor Indirect Materials Other Overhead Grinding $400,000 Polishing $210,000 Product modification 550,000 Providing power $230,000 Systen calibration 480,000 Additional information on the drivers for its production activities follows. Grinding Polishing Product modification Providing power Systen calibration 15,000 machine hours 15, machine hours 1,400 engineering hours 14,000 direct labor hours 950 batches Number of units Machine hours Engineering hours Batches Direct labor hours Job 3175 200 units 450 MM 29 eng. hours 20 batches 470 LH Job 4286 2,500 units 4,500 MM 26 eng: hours 60 batches 4,230 DLH Batches Direct labor hours hours 20 batches 470 DUH hours be batches 4,230 DU Required: 2,3 & 4. Compute the activity overhead rates using ABC. Combine the grinding and polishing activities into a single cost pool. Determine overhead costs to assign to the above jobs using ABC. What is the overhead cost per unit for Job 3175? What is the overhead cost per unit for Job 4286? (Round your activity rate and average overhead cost per unit to 2 decimal places. Round "overhead assigned to the nearest whole dollar) Job 3175 Activity driver incurred Overhead Cost Over Activity Rate Activity Grinding & Polishing Product modification Providing power System calibration Activity Drivers Machine hours Engineering hrs. Direct labor hrs. batches 3 Mt tes using ABC. Combine the grinding and polishing activities into a single cost pool. above jobs using ABC. What is the overhead cost per unit for Job 3175? What is the nd your activity rate and average overhead cost per unit to 2 decimal places. Round e dollar.) Job 3175 Job 4286 Activity driver Overhead incurred assigned Activity Drivers Activity Rate Overhead assigned Activity driver incurred Machine hours Engineering hrs Direct labor hrs. batches
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