I would like to know how to solve the spreadsheet based on the problem?
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w-Hill Connect M (84 unread) - steph... Log In Documents My Shelf Bryteway. E Brytewave eReader Cengage login MindTap - Cengage... G Google Problem 17-1A Comparing plantwide rate method and activity-based costing QP1 OP3 Craftmore Machining reports the following budgeted overhead cost and related data for this year. Activity Budgeted Cost Activity Cost Driver Budgeted Activity Usage $390,000 60,000 Assembly Product design Electricity Setup Direct labor hours (DLH) Engineering hours (EH) Machine hours (MH) 13,000 1,000 10,000 400 20,000 50,000 Setups Total $520,000 Required 1. Compute a single plantwide overhead rate assuming the company allocates overhead cost based on 13.000 direct labor hours. 2. Job 31 used 200 direct labor hours and Job 42 used 480 direct labor hours. Allocate overhead cost to each job using the single plantwide overhead rate from part 1. 3. Compute an activity rate for each activity using activity-based costing. 4. Allocate overhead costs to the following jobs using activity based costing, 1 Required 1. Compute a single plantwide overhead rate assuming the company allocates overhead cost based on 13,000 direct labor hours. 2. Job 31 used 200 direct labor hours and Job 42 used 480 direct labor hours. Allocate overhead cost to each job using the single plantwide overhead rate from part 1 3. Compute an activity rate for each activity using activity-based costing. 4. Allocate overhead costs to the following jobs using activity-based costing Activity Usage Activity Cost Driver Job 31 Job 42 200 480 26 32 Direct labor hours (DLH) Engineering hours (EH) Machine hours (MH) Setups 50 60 4 6 F 1 Problem 17-1A 2 3 3 4 Requirement 1 5 6 Plantwide rate 7 Assembly 8 Product design 9 Electricity 10 Setup cost 11 Total budget overhead cost 12 Plantwide rate = 13 14 15 Requirement 2 16 36 300000 60,000 20,000 50,000 900,000 Total budgeted overhead cost / Total direct labor hours Plantwide 17 Allocate overhead using plantwise ratrate DLH per unit Overhead allocated 18 19 Job 31 20 Job 42 Sheet1 Requirement 3 Now Activity Based Costing First Compute overhead activity rates Budgeted Budgeted cost activity usage Activity rate Activities Assembly Product design Electricity Setup 1 Requirement 4 8 Allocate overhead to job 31 based on actual activity used Total cost of activity Rate Activity usage used 39 Sheet1 5. Requirement 4 6 7 38 Allocate overhead to job 31 based on actual activity used Total cost of activity 39 Rate Activity usage used 10 Assembly 41 Product design 42 Electricity 43 Setup 44 Total overhead assigned 45 46 47 Allocate overhead to Job 42 based on actual activity used Total cost of activity 48 Rate Activity usage used 49 Assembly 50 Product design Sheet1 E F G 17 Allocate overhead to Job 42 based on actual activity used Total cost of activity 48 Rate Activity usage used 49 Assembly 50 Product design 51 Electricity 52 Setup 53 Total overheaf assignme 54 55 56 Comment on the difference on overhead allocated based on the method used 57 58
