Glassworks Inc. produces two types of glass shelving, rounded edge and squared edge, on the same production line. For the current period, the company reports the following data. Direct saterials Rounded Edge Squared Edge Total $ 9,0 Direct labor $21,600 $ 31,200 6,100 Overhead (300 of direct labor cost) 12,000 18,12 18,300 35.000 5420 Total cost $33, 569.00 $123,600 Quantity produced 10. t. 14.000 Ft Average cost per ft. (rounded $ 3.10 54.99 Glasworks's controller wishes to apply activity based costing (ADCto locate the $54300 of overhead costs incurred by the two product lines to see whether cont per foot would change my from the reported above. She has collected the following Information Od cost Category Activity. Cost Po Supervision Deoreciation of chery Asche preparati CONT 32.17 29. 35 the ho collected the town into the chorycodontoh used by the two produto w Activity Rate Required: Assign these three overhead cost pools to each of the two products using ABC. Activity Overhead Cost Activity Drivers Supervision Direct labor cost Depreciation of machinery Machine hours Assembly line preparation Setups Rounded edge Activity rate Supervision Depreciation of machinery Assembly line preparation Activity driver incurred Overhead assigned Activity rate Activity driver incurred Overhead assigned Squared edge Components Supervision Depreciation of machinery Amy line presion 2.Deretter Dating ADC Rodeo Squared edge Glassworks Inc. produces two types of glass shelving, rounded edge and squared edge, on the same production line. For the cu period, the company reports the following data, Direct materials Direct labor Overhead (388% of direct labor cost) Total cost Quantity produced Average cost per ft. (rounded) Rounded Edge Squared Edge Total $ 9,400 $21,800 $ 31,200 6,100 12,000 18,100 18,300 36,000 54,300 $33,880 $69,800 $103,600 10,600 ft. 14,000 ft. $ 3.19 $ 4.99 Glassworks's controller wishes to apply activity-based costing (ABC) to allocate the $54,300 of overhead costs incurred by the two product lines to see whether cost per foot would change markedly from that reported above. She has collected the following Information Overhead Cost Category Activity Cost Poot) Cost Supervision $ 2,172 Depreciation of machinery 29,000 Assebly Line preparation 22.128 Total overhead $54,300 She has also collected the following information about the cost drivers for each category (cost pool) and the amount of each driver used by the two product lines. (Round activity rate and cost per unit answers to 2 decimal places.) Overhead Cost Category Activity Cont Po Supervision Depreciation of machinery Assembly Line preparation Driver Direct labor cost (5) Machine hours Setups (number) Usage Rounded Edge Squared Edge 16,100 $12,000 300 hours 700 hours 31 times 94 times Tatal $18, 100 1.000 hours 125 times Required: the duties At Activity Rate Required: 1. Assign these three overhead cout pools to each of the two products using ABC Activity Overhead Cost Activity Drivers Supervision Direct labor cost Depreciation of machinery Machine hours Amurribly line preparation Setups Rounded edge Activity rate Supervision %0 Depreciation of machinery 0 Amine preparation 0 Activity driver Incurred Overhead assigned Activity Activity driver incurred Overhead assigned Dodge Components Supervision Demotion of machinery prwin SO 0 Determine whethoducting Ang dede Squared edge
