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Mixing Molding Baking Finishing Product A 5 minutes 8 minutes 3 minutes 4 minutes Product B 2 minutes 10 minutes 3 minutes 2 minutes Under
Mixing | Molding | Baking | Finishing | ||||
Product A | 5 minutes | 8 minutes | 3 minutes | 4 minutes | |||
Product B | 2 minutes | 10 minutes | 3 minutes | 2 minutes |
Under traditional costing methods, which product would have more overhead costs allocated?
a.Product A because the first two cycles are bottlenecks
b.Product B because it has the highest individual cycle time in molding
c.Unable to determine from information given
d.Product A because it has the highest total cycle time
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