Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Download the Applying Excel form and enter formulas in all cells that contain question marks. For example, in cell B26 enter the formula = B4B8.
Download the Applying Excel form and enter formulas in all cells that contain question marks. For example, in cell B26 enter the formula "= B4B8. Note that the worksheet contains a section at the bottom titled "Determine the Product Margin Under a Traditional Cost System" that is not in the Review Problem. In this section, it is assumed that the traditional costing system allocates manufacturing overhead on the basis of the number of units produced. When completed, that part of the worksheet should contain the following results: After entering formulas in all of the cells that contained question marks, verify that the dollar amounts match the numbers in the Review Problem. Check your worksheet by doubling the units ordered in cell B16 to 160 . The customer margin under activity-based costing should now be $7,640 and the traditional costing product margin should be $(21,600). If you do not get these results, find the errors in your worksheet and correct them. Save your completed Applying Excel form to your computer and then upload it here by clicking "Browse." Next, click "Save." You will use this worksheet to answer the questions in Part 2. Chapter 5: Applying Excel Data OfficeMart orders: Compute the activity rates \begin{tabular}{|l|r|r|r|r|} \hline Activity Cost Pools & Total Cost & Total Activity & Activity Rate \\ \hline Assembling units & ? & ? & units & per unit \\ \hline Processing orders & ? & ? & orders & ? per order \\ \hline Supporting customers & ? & ? customers & ? per customer \end{tabular} Compute the overhead cost attributable to the OfficeMart orders Activity Cost Pools Assembling units Activity Rate Activity ABC Cost Compute the overhead cost attributable to the OfficeMart orders Determine the customer margin for the OfficeMart orders under Activity-Based Costing Sales Costs: \begin{tabular}{|l|l|l|} \hline Direct materials & ? & \\ \hline Direct labor & ? & \\ \hline Unit-related overhead & ? & \\ \hline Order-related overhead & ? & \\ \hline Customer-related overhead & ? & ? \\ \hline Customer margin & & ? \\ \hline \hline \end{tabular} Determine the product margin for the OfficeMart orders under a traditional cost system \begin{tabular}{|l|l|l|} \hline Manufacturing overhead & ? \\ \hline Total activity & ? & units \\ \hline Manufacturing overhead per unit & ? & per unit \\ \hline Sales & & \\ \hline Costs: & & \\ \hline Direct materials & ? & \\ \hline Direct labor & ? & \\ \hline Manufacturing overhead & ? & ? \\ \hline Traditional costing product margin & & ? \\ \hline \hline \end{tabular}
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started