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Easton Company manufactures wheel rims. The controller expects the following ABC alocation rates for 2018 EEB (Click the icon to view the allocation rates.) Easton
Easton Company manufactures wheel rims. The controller expects the following ABC alocation rates for 2018 EEB (Click the icon to view the allocation rates.) Easton produces two wheel rim models standard and deluxe. Expected data for 2018 are as follows: (Click the icon to view the expected data.) The company expects to produce 500 units of each model during the year Read the requirements Requirement 1. Compute the total estimated indirect manufacturing cost for 2018 Data Table Begin by selecting the formula to compute the total estimated overhead (OH) costs Total estimated Total estimated qty of the allocation base overhead costs Predetermined overhead allocation rate Predetermined Overhead Allocation Rate 8.00 per part 700.00 per setup 24.00 per part 60.00 per hour Now compute the total estimated indirect manufacturing cost for 2018. Activity Allocation Base Data Table Materials handng Machine setup Insertion of parts Finish Number of parts $ Total Estimated Indirect Manufacturing Cost Number of setups Number of parts Number of finishing hours Activity Materials handling Machine setup Insertion of parts Finishing Totall estimated indirect manufacturing cost Standard Deluxe 10.0 Parts per rim Setups per 500 rims Finishing hours per rim Total direct labor hours per rim 5.0 17.0 2.0 3.0 17.0 Print Done 5.0
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