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6 My courses 690 e Dashboard X m Question 3 - Assignment #4 (l X + v 0 ezto.mheducationicom/ext/map/index.htm|?_con=con&externa|_browser=0&launchUrl=https%253A%252F%252Fnewconnectmheducation.com%252F#/a... ] '2! El 3 of: bus stat book @ Willo Labs | Log In Connect 6 REM - Summary We're glad you're.\" D max_labs_grades_.u 6 My Account -AD.,. . Developer Console Assignment #4 (Chapter 5) 0 Saved Help 3 '_' InitLive - Portal Save & Exit Submit offee Bean Incorporated (CBI) processes and distributes high-quality coffee CBI buys coffee beans from around the world and casts, blends, and packages them for resale. Currently, the rm offers 2 coffees to gourmet shops in 1-pound bags. The major cost is irect materials; however, a substantial amount of factory overhead is incurred in the predominantly automated roasting and packing rocess. The company uses relatively little direct labor. Bl prices its coffee at full product cost, including allocated overhead, plus a markup of 30%, If its prices are significantly higher than he market, CBI lowers its prices' The company competes primarily on the quality of its products, but customers are price conscious as ell. ata for the current budget include factory overhead of $3,140,000, which has been allocated on the basis of each product's direct abor cost The budgeted direct labor cost for the current year totals $600,000 The rm budgeted $6,000,000 for purchase and use f direct materials (mostly coffee beans). he budgeted direct costs for lpound bags are as follows: Mona Loa Malaysian Direct materials 5 4.20 $ 3420 Direct labor 0.30 0.30 Bl's controller, Mona Clin, believes that its current product costing system could be providing misleading cost information She has eveloped this analysis of the current year's budgeted factory overhead costs: Budgeted Driver Activity Cost Driver Consumption Budgeted Cost Purchasing Purchase orders 1 , 258 $ 629 , 000 Materials handling Setups 1,900 760, 000 Quality control Batches 820 164, 000 Roasting Roasting hours 97, 100 971, 000 Blending Blending hours 34,600 346, 000 Packaging Packaging hours 27,000 270, 000 Total factory overhead cost $ 3 , 140 , 000 ata regarding the current year's production for the Mona Lea and Malaysian lines follow. There is no beginning or ending direct aterials inventory for either of these coffees. Mona Loa Malaysian a.,.i..-.-.: ..-1-_ 1nA mm ..... 4,. 0 mm ..... 4,. 6 My courses x m Question 3 - Assignment #4 (