Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Keyboard uses activity-based costing. Two of Keyboard's production activities are kitting (assembling the raw materials needed for each computer in one kit) and boxing the

image text in transcribed
Keyboard uses activity-based costing. Two of Keyboard's production activities are kitting (assembling the raw materials needed for each computer in one kit) and boxing the completed products for shipment to customers. Assume that Keyboard spends $9,000,000 per month on kitting and $21,000,000 per month on boxing Keyboard allocates the following: Kitting costs based on the number of parts used in the computer n Suppose Keyboard estimates it will use 300,000,000 parts per month and ship products with a total volume of 35,000,000 cubic feet per month. Assume that each e overhead allocation rate for boxing is S0.60 per cubic foot Boxing costs based on the cubic feet of space the computer requires desktop computer requires 225 parts and has a volume of 12 cubic feet. The predetermined overhead allocation rate for kitting is $0.03 per part and the predetermined What are the kitting and boxing costs assigned to one desktop computer? (Round all calculations to the nearest cent Kitting Boxing 0.36 $ 7.20$ 7.11 $ 6.75 35.00 B. 6.75 142 20 7.20 mine D

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

Internal Revenue Service Status Of GAO Financial Audit And Related Financial Management Recommendations

Authors: Government Accountability Office

1st Edition

1492351571, 978-1492351573

More Books

Students also viewed these Accounting questions