Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Greenwood Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Greenwood Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional Information is available for the company as a whole and for Products Y and Z: Activity Cost Pool Machining Machine setups Production design General factory Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost $ 203,000 $ 121,900 $ 87,000 $ 379,500 Expected Activity 10,000 MHs 230 setups 2 products 15,000 DLRS Activity Mensure Machining Number of setups Number of products Direct labor-hours Product Y 8,300 50 1 9.500 Product : 1,700 180 1 5,500 11. Using the plantwide overhead rate, what percentage of the total overhead cost is allocated to Product Y and Product Z? (Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places.) Product Y Product z Total overhead cost Greenwood Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional Information is available for the company as a whole and for Products Y and Z: Activity Cont Pool Machining Machine setups Production design General factory Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost $ 203,000 $ 121,900 $ 87,000 $ 379,500 Expected Activity 10,000 MHS 230 setups 2 products 15,000 DHS Activity Measure Machining Number of setups Number of products Direct labor-hours Product Y 8,300 50 1 9,500 Product z 1,700 180 1 5,500 12. Using the ABC system, what percentage of the Machining costs is assigned to Product Y and Product Z? (Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places.) Product Y Product z Machining cost Greenwood Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Estimated Overhead Expected Activity Cont Pool Activity Measure Activity Machining Machine-hours $ 200,000 10,000 MH Machine setup Number of setups $ 121,900 230 setups Production design Number of products $ 87,000 2 products General factory Direct labor-hours $ 379,500 Cost 15,000 DLHS Activity Measure Machining Number of setups Number of products Direct labor-hours Product 8,300 50 1 9.500 Product 3 1,700 180 1 5,500 13. Using the ABC system, what percentage of Machine Setups cost is assigned to Product Y and Product Z? (Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places.) Product Y % Product z % Machine setups cost Greenwood Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Activity Cost Pool Machining Machine setups Production design General factory Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost $ 203,000 $ 121,900 $ 87,000 $ 379,500 Expected Activity 10,000 MH 230 setups 2 products 15,000 DI Activity Measure Machining Number of setups Number of products Direct labor-hours Product Y 8,300 50 1 9,500 Product % 1,700 180 1 5,500 14. Using the ABC system, what percentage of the Product Design cost is assigned to Product Y and Product Z? (Round your answers to 2 decimal places.) Product Y Product Z Product design cost % Greenwood Company manufactures two products14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Activity Cost Pool Machining Machine setups Production design General factory Activity Meanure Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost $ 203,000 $ 121,900 $ 87,000 $ 379,500 Expected Activity 10,000 MH 230 setups 2 products 15,000 DLHS Activity Measure Machining Number of setup Number of products Direct labor-hours Product Y 8,300 50 1 9.500 Product z 1,700 180 1 5,500 15. Using the ABC system, what percentage of the General Factory cost is assigned to Product Y and Product Z? (Round your intermediate calculations and final answers to 2 decimal places.) Product Y % Product Z % General factory cost

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Glencoe Accounting

Authors: McGraw-Hill

1st Edition

0021400881, 9780021400881

More Books

Students also viewed these Accounting questions

Question

=+What do you wish you had known when you were starting out?

Answered: 1 week ago