Exercise 9-53 (Algo) Time-Driven ABC for an Administrative Service (LO 9-8, 9) The manager of the Personnel Department at City Enterprises has been reading about timedriven ABC and wants to apply it to her department. She has identied four basic activities her employees spend most of the their time on: Interviewing. Hiring. Assessment. and Separation Processing. The department employs 22 staff who perform these activities. The manager provides the following estimates for the amount of time it takes to complete each of these activities: Interviewing: 62 minutes. Hiring: 77 minutes. Assessment: 109 minutes. Separation Processing: 107 minutes. Employees in Personnel work 52hour weeks with four weeks for vacation. Of the 52 hours. ve are reserved for administrative tasks. training, and so on. The costs of the Personnel Department. including any allocated costs from other staff functions. are 515989.000. During the year. Personnel conducted 2.900 interviews. made 715 hires. made 6.400 assessments. and had 335 separations. Required: a. What is the cost per minute for activities in Personnel? (Round your answer to 2 decimal places.) b. What is the cost of interviewing and hiring one employee? (Round your intermediate calculations and nal answer to 2 decimal places.) c. How many minutes of unused capacity did Personnel have for the year? d. What was the cost of the unused capacity in Personnel? (Round your intermediate calculations to 2 decimal places and round your final answer to the nearest whole dollar.) Cost per minute Total costs Unused minutes app-o: Cost of unused capacity Required information Exercise 9-38 and 9-39 (Algo) Upriver Parts manufactures two products. V1 and V2. at its River Plant. Selected data for an average month for the two products follow. V-l V-Z Units produced 18,888 1,888 Direct materials cost per\" unit $ 2 $ 4 Machine hours per' unit 1 2 Production runs per' month 80 40 Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overhead at the plant follow. Machine depreciation $ 63,888 Setup labor' 28,889 Material handling 16,560 Total $188,369 Exercise 9-38 (Algo) Activity-Based Costing and Cost Driver Rates (L0 9-4) Required: a. Upriver currently applies overhead on the basis of machine hours. What is the predetermined overhead rate for the month? (Round your answer to 2 decimal places.) In. Upriver is thinking of adopting an ABC system. They have tentatively chosen the following cost drivers: machine hours for machine depreciation, production runs for setup labor, and direct material dollars for material handling. Compute the cost driver rates for the proposed system at Upriver. {Round "Machine depreciation" answer to 2 decimal places.) Overhead rate per machine hour b Machine depreciation per machine hour Setup labor per production run \"In direct material cost Material handling
