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Eaton Company manufactures wheel rims. The controller expects the following ABC allocation rates for 2018: (Click the icon to view the allocation rates.) Eaton produces
Eaton Company manufactures wheel rims. The controller expects the following ABC allocation rates for 2018: (Click the icon to view the allocation rates.) Eaton 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 requiremen Data Table Requirement 1. Compute the total estimated indirect manufacturing cost for 2018. Begin by selecting the formula to compute the total estimated overhead (OH) costs. Standard Deluxe Parts per rim 3.0 10.0 Setups per 500 rims 17.0 17.0 Total estimated Finishing hours per rim 2.0 6.5 Predetermined overhead allocation rate Now compute the total estimated indirect manufacturing cost for 2018. Total estimated qty of the allocation base = overhead costs Total direct labor hours per rim 3.0 7.0 Activity Materials handling Total Estimated Indirect Manufacturing Cost Data Table Machine setup Insertion of parts Finishing Total estimated indirect manufacturing cost Enter any number in the edit fields and then click Check Answer. parts remaining Print Done Activity Allocation Base Predetermined Overhead Allocation Rate Materials handling Number of parts Machine setup Number of setups Insertion of parts Number of parts Cl Finishing Number of finishing hours $6.00 per part 800.00 per setup 27.00 per part 70.00 per hour
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