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Given the information in the ABC Costing Tab, first use Traditional Costing (POHR) using machine hours as the driver. What is the POHR? Only round
Given the information in the ABC Costing Tab, first use Traditional Costing (POHR) using machine hours as the driver.
What is the POHR?
Only round when you get to the final answer, and round to 2 places. Do not put in the dollar sign. For example, if your POHR is $123.456, you will put in 123.46 as your answer.
16.00 $ 16.00 Direct Labor cost per hour Direct Labor hours per unit Machine hours per unit 2 3 Average number of units per order* Number of setup hours per order* 300 40 125 60 * Hint: you will need to calculate number of orders for each product line. It is not given to you directly. Think of what the underlying math is for average number of units per order mathematically. It may help to set up in words how you average number o funits per order and what you need to do to back into number of orders Hint: you will need to calculate Set Up Hours. Once you have number of orders, then you can figure out setup hours per order You are thinking about using ABC Costing and are given the following dollar amounts and drivers for each pool Activity Driver Total Cost Assembly and Packaging Machining Order Processing Setups Direct Labor Hours Machine Hours Number of orders Setup Hours $ $ $ $ 536,900 450,900 297,000 376,992 16.00 $ 16.00 Direct Labor cost per hour Direct Labor hours per unit Machine hours per unit 2 3 Average number of units per order* Number of setup hours per order* 300 40 125 60 * Hint: you will need to calculate number of orders for each product line. It is not given to you directly. Think of what the underlying math is for average number of units per order mathematically. It may help to set up in words how you average number o funits per order and what you need to do to back into number of orders Hint: you will need to calculate Set Up Hours. Once you have number of orders, then you can figure out setup hours per order You are thinking about using ABC Costing and are given the following dollar amounts and drivers for each pool Activity Driver Total Cost Assembly and Packaging Machining Order Processing Setups Direct Labor Hours Machine Hours Number of orders Setup Hours $ $ $ $ 536,900 450,900 297,000 376,992Step by Step Solution
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