Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

i have the right answer for the question but if someone can explain how to get it would be amazing! thumbs up to whoever does!

i have the right answer for the question but if someone can explain how to get it would be amazing!
thumbs up to whoever does!
image text in transcribed
image text in transcribed
2. The company is considering replacing its traditional costing system for determining unit product costs for external reports with an ABC system. The ABC system would have the following three activity cost pools Expected Activity Activities and Activity Measures Supporting direct labour (direct labour-hours) Drawing software modifications (changes) Quality review and technical checks (tests) Total service department overhead cost Estimated Overhead Cott $1.440,00 144,000 24,00 $1,600,000 Comercial 4.800 120 96 8 Residential 25,200 30 24 Total 39,00 Ise 120 Determine the unit costs (cost per square metre of architectural drawings of the Commercial and Residential lines of business under the ABC system. (Round your answers to 2 decimal places) Answer is complete and correct. Commercial Residential 65.60S 46.75 Unit cost 10 DONE Data concerning Cranur Architects Corporation's two major business lines are given below Direct materials per square metre Direct labour per square metre Direct Labour hours per square tre Estimated annual output Comercial S 9.00 5 49 3.1 LHS 41. esidential $ 6.30 536.75 0.075 DLHS 33,000 The company has a traditional costing system in which architecture department overhead is applied to units (square metres of architectural drawings) based on direct labour hours Data concerning architecture department overhead and direct labour hours for the upcoming year appear below: Estimated total architecture department overhead Estimated total direct labourhoor $1,000,000 30,000 LHE

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

Contabilidad Para No Contadores

Authors: Wayne Label

2nd Edition

9587712986, 9789587712988

More Books

Students also viewed these Accounting questions