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es Cancico Communications has supplied the following data for use in its ABC system: Overhead Costs Wages and salarien Other overhead costs Total overhead
es Cancico Communications has supplied the following data for use in its ABC system: Overhead Costs Wages and salarien Other overhead costs Total overhead costs $300,000 165,000 $465,000 Activity Coat Pool Direct labour support Order processing Customer support Other Activity Measure Number of direct labour-hours Number of orders Number of customers These costs are not allocated to products or customers Total Activity 12,300 DLH 500 orders 180 customers NA Distribution of Resource Consumption across Activity Cost Pools Wages and salaries other overhead costs Direct Labour Support 154 10 Order Processing 40% 25 Customer Support 358 25 Other Total 10% 100% 40% 100% During the year, Cancico Communications completed an order for special telephone equipment for a new customer, HurnTel. This customer did not order any other products during the year. Data concerning that order follow Selling price Units ordered Direct materials Direct labour-hours Direct labour rate Required: $217 per unit 190 units $196 per unit 0.6 DLH per unit $26 per DLH 1. Prepare a report showing the first-stage allocations of overhead costs to the activity cost pools. Required: 1. Prepare a report showing the first-stage allocations of overhead costs to the activity cost pools. Direct Labour Support Order Customer Processing Support Other Totals Book Wages and salaries Print Other overhead costs Total cost $ 0 $ 0 $ 0 $ 0 $ 0 erences 2. Compute the activity rates for the activity cost pools. (Round your answers to 2 decimal places.) Activity Cost Pools Direct labour support Activity Rate per DLH Order processing Customer support per order per customer 3. Prepare a report showing the overhead costs for the order from HurnTel, including customer support costs. (Round your answers to 2 decimal places.) Activity Cost Pool Activity Rate Activity ABC Cost Direct labour support per DLH DLHS $ 0.00 Order processing per order orders $ 0.00 Customer support per customer customer $ 0.00 Total $ 0.00 4. Prepare a report showing the customer margin for HurnTel. (Round your answers to 2 decimal places.) Sales Costs: Direct materials Direct labour Direct labour support overhead Order processing overhead Customer support overhead 0.00 Customer margin $ 0.00
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