Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need help filling in the blanks on the bottom part for travel packs and commercial containers Corbertt Pharmaceuticals manufacturers an over-the-counter allergy medication. The

I need help filling in the blanks on the bottom part for travel packs and commercial containers

Corbertt Pharmaceuticals manufacturers an over-the-counter allergy medication. The company sells both large commercial containers of 1,000 capsules to health care facilities and travel packs of 20 capsules to shops in airports, train stations, and hotels. The following information has been developed to determine if an activity-based costing system would be beneficial:image text in transcribed

P19-32A (similar to) Question Help Corbertt Pharmaceuticals manufacturers an over-the-counter allergy medication. The company sells both large commercial containers of 1,000 capsules to health care facilities and travel packs of 20 capsules to shops in airports, train stations, and hotels. The following information has been developed to determine if an activity-based costing system would be beneficial EEa Click the icon to view the informa Read the requirements answers to the nearest whole dollar. Predetermined OH Estimated overhead costs Estimated qty of the allocation base allocation rate 95,000 Materials handling 19,000 Packaging 200,000 5,000 40 112,500 1,875 60 Quality assurance Requirement 2. Use the predetermined overhead allocation rates to compute the activity-based costs per unit of the commercial containers and the travel packs. Round to two decimal places. (Hint: First compute the total activity-based costs allocated to each product line, and then compute the cost per unit.) Begin by selecting the formula to allocate overhead (OH) costs. Predetermined OH allocation rate x Actual qty of the allocation base used Allocated mfa. overhead costs Compute the total activity-based costs allocated to commercial containers, and then compute the cost per unit for commercial containers. Finally, compute the total activity-based costs allocated to travel packs then compute the cost per unit for travel packs. (Round the cost per unit to two decimal places.) Commercial containers Travel packs 49,000 25,000 Materials handling 84,000 20,000 Packaging 33,600 45,000 Quality assurance 166,600 90,000 Total activity-based costs 2,800 50,000 Number of units 59.50 1.80 Activity-based cost per unit Requirement 3. Corbertt's original single plantwide overhead allocation rate costing system allocated indirect costs to products at 50 per machine hour. Compute the total indirect costs allocated to the commercial containers and to the travel packs under the original system. Then compute the indirect cost per unit for each product. Round to two decimal places. Select the formula, and then enter the amounts to compute the indirect cost per unit for each product. (Round dollar amounts to two decimal places Allocated mfa. OH cost Number of units ndirect cost per unit Commercial containers Enter any number in the edit fields and then click Check Answer. 3 Check Answer Clear All remaining

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

A Comprehensive Guide To Information Security Management And Audit

Authors: Rajkumar Banoth, Gugulothu Narsimha, Aruna Kranthi Godishala

1st Edition

1032344431, 978-1032344430

More Books

Students also viewed these Accounting questions