Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need help with this, thank you! Graded Homework i Saved Complete this question by entering your answers in the tabs below. Exercise 7-15 (Static)

I need help with this, thank you!

image text in transcribed
Graded Homework i Saved Complete this question by entering your answers in the tabs below. Exercise 7-15 (Static) Comprehensive Activity-Based Costing Exercise [LO7-2, LO7-3, LO7-4, LO7-5] Required 1 Required 2 Required 3 Required 4 Advanced Products Corporation has supplied the following data from its activity-based costing system: Calculate the total overhead costs for the order from Shenzhen Enterprises including customer support costs. Overhead Costs tivity Cost Pool ABC Cost and salaries $ 300,000 Other overhead costs 100 , 000 Supporting direct labor Total overhead costs $ 400, 090 Order processing Customer support Total Activity for the Activity Cost Pool Activity Measure Year Total Supporting direct labor Number of direct la labor- hours 20, 060 DLHS 400 orders Customer support Number of customers 200 customers other This is an organization- Not applicable sustaining activity Distribution of Resource Consumption Across Activities Supporting Direct Order Labor Customer cessing other Total Complete this question by entering your answers in the tabs below. Wages and salaries 20% 100% Other overhead costs 30% 198 20% During the year, Advanced Products completed one order for a new customer, Shenzhen Enterprises. This customer did not order any Required 1 Required 2 Required 3 Required 4 other products during the year. Data concerning that order follow: Data Concerning the Shenzhen Enterprises Order Calculate the customer margin for Shenzhen Enterprises Units ordered 10 units Direct labor-hours 2 DLHs per unit Shenzhen Enterprises Direct materials 2 $60 per unit Customer Margin-ABC Analysis Direct labor $ 50 per unit Required: Costs: 1. Prepare a report showing the first-stage allocations of overhead costs to the activity cost pools. 2. Compute the activity rates for the activity cost pools. 3. Calculate the total overhead costs for the order from Shenzhen Enterprises including customer support costs. 4. Calculate the customer margin for Shenzhen Enterprises. Complete this question by entering your answers in the tabs below. Customer margin Required 1 Required 2 Required 3 Required 4 Prepare a report showing the first-stage allocations of overhead costs to the activity cost pools. Direct Labor Order Customer Support Other Totals Support Processing Wages and salaries Other overhead costs Total cost Required 2 > Complete this question by entering your answers in the tabs below. Required Required 2 Required 3 Required 4 Compute the activity rates for the activity cost pools. (Round the "Direct labor support" to 2 decimal places.) Activity Cost Pool Activity Rate Supporting direct labor ber DLH Order processing per order Customer support per customer

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

Analytical Corporate Valuation Fundamental Analysis, Asset Pricing, And Company Valuation

Authors: Pasquale De Luca

1st Edition

331993550X, 9783319935508

More Books

Students also viewed these Accounting questions