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I need help with this spreadsheet. I am in cost accounting and it needs to have formulas in the cells. I started off just fine
I need help with this spreadsheet. I am in cost accounting and it needs to have formulas in the cells. I started off just fine and then lost my way. Please see attached file. Can you fix my formulas and maybe write out what you did so I can understand it.
Chapter 7: Applying Excel | |||||||||||||
Data | |||||||||||||
Manufacturing overhead | $500,000 | ||||||||||||
Selling and administrative overhead | $300,000 | ||||||||||||
Assembling Units | Processing Orders | Supporting Customers | Other | ||||||||||
Manufacturing overhead | 50% | 35% | 5% | 10% | |||||||||
Selling and administrative overhead | 10% | 45% | 25% | 20% | |||||||||
Total activity | 1,000 | 250 | 100 | ||||||||||
units | orders | customers | |||||||||||
OfficeMart orders: | |||||||||||||
Customers | 1 | customer | Check your worksheet by doubling the units in cell B16 t0 160. The margin under | ||||||||||
Orders | 4 | orders | activity costing should now be 7640 and the traditional costing product margin should be | ||||||||||
Number of filing cabinets ordered in total | 80 | units | ($21,600). If you dont get these results, find the errors in your worksheet and correct | ||||||||||
Selling price | $595 | them. | |||||||||||
Direct materials | $180 | ||||||||||||
Direct labor | $50 | ||||||||||||
Enter a formula into each of the cells marked with a ? below | |||||||||||||
Review Problem: Activity-Based Costing | |||||||||||||
Perform the first stage allocations | |||||||||||||
Assembling Units | Processing Orders | Supporting Customers | Other | Total | |||||||||
Manufacturing overhead | $ 250,000 | $ 175,000 | $ 25,000 | $ 50,000 | $ 500,000 | ||||||||
Selling and administrative overhead | 30,000 | 135,000 | 75,000 | 60,000 | 300,000 | ||||||||
Total cost | $ 280,000 | $ 310,000 | $ 100,000 | $ 110,000 | $ 800,000 | ||||||||
Compute the activity rates | |||||||||||||
Activity Cost Pools | Total Cost | Total Activity | Activity Rate | ||||||||||
Assembling units | $280,000 | 1,000 | units | $280 | per unit | ||||||||
Processing orders | $310,000 | 250 | orders | $1,240 | per order | ||||||||
Supporting customers | $100,000 | 100 | customers | $1,000 | per customer | ||||||||
Compute the overhead cost attributable to the OfficeMart orders | |||||||||||||
Activity Cost Pools | Activity Rate | Activity | ABC Cost | ||||||||||
Assembling units | $280 | per unit | 80 | units | $22,400 | ||||||||
Processing orders | $1,240 | per order | 4 | orders | $4,960 | ||||||||
Supporting customers | $1,000 | per customer | 1 | customer | $1,000 | ||||||||
Determine the customer margin for the OfficeMart orders under Activity-Based Costing | |||||||||||||
Sales | $ 47,600 | ||||||||||||
Costs: | |||||||||||||
Direct materials | $ 14,400 | ||||||||||||
Direct labor | 4,000 | ||||||||||||
Unit-related overhead | $22,400 | ||||||||||||
Order-related overhead | $4,960 | ||||||||||||
Customer-related overhead | $1,000 | $ 46,760 | |||||||||||
Customer margin | $ 840 | ||||||||||||
Determine the product margin for the OfficeMart orders under a traditional cost system | |||||||||||||
Manufacturing overhead | $500,000 | ||||||||||||
Total activity | 1,000 | units | |||||||||||
Manufacturing overhead per unit | $500 | per unit | |||||||||||
Sales | $ 47,600 | ||||||||||||
Costs: | |||||||||||||
Direct materials | $ 14,400 | ||||||||||||
Direct labor | 4,000 | ||||||||||||
Manufacturing overhead | 40,000 | 58,400 | |||||||||||
Traditional costing product margin | $ (10,800) |
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