Question
Flynn Industries has three activity cost pools and two products. It expects to produce 3,230 units of Product BC113 and 1,590 of Product AD908. Having
Flynn Industries has three activity cost pools and two products. It expects to produce 3,230 units of Product BC113 and 1,590 of Product AD908. Having identified its activity cost pools and the cost drivers for each pool, Flynn accumulated the following data relative to those activity cost pools and cost drivers.
Annual Overhead Data | Expected Use of Cost Drivers per Product | |||||||||
Activity Cost Pools | Cost Drivers | Estimated Overhead | Expected Use of Cost Drivers per Activity | Product BC113 | Product AD908 | |||||
Machine setup | Setups | $17,955 | 35 | 27 | 8 | |||||
Machining | Machine hours | 113,476 | 5,158 | 1,011 | 4,147 | |||||
Packing | Orders | 28,490 | 518 | 154 | 364 |
Using the above data, do the following:
Partially correct answer iconYour answer is partially correct.
Prepare a schedule showing the computations of the activity-based overhead rates per cost driver.
Activity Cost Pools | Estimated Overhead | Expected Use of Cost Drivers per Activity | Activity-Based Overhead Rates | |||||
Machine setup | $ | setups | $ | per setup | ||||
Machining | machine hours | $ | per machine hr. | |||||
Packing | orders | $ | per order | |||||
$ |
Partially correct answer iconYour answer is partially correct.
Prepare a schedule assigning each activitys overhead cost to the two products.
BC113 | AD908 | |||||||||||
Activity Cost Pools | Expected Use of Cost Drivers per Product | Activity-Based Overhead Rates | Cost Assigned | Expected Use of Cost Drivers per Product | Activity-Based Overhead Rates | Cost Assigned | ||||||
Machine setup | $ | $ | $ | $ | ||||||||
Machining | $ | $ | ||||||||||
Packing | $ | $ | ||||||||||
Total assigned costs | $ | $ |
Incorrect answer iconYour answer is incorrect.
Compute the overhead cost per unit for each product. (Round answers to 2 decimal places, e.g. 12.25.)
BC113 | AD908 | |||
Overhead cost per unit | $ | $ |
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