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Neal Company manufactures computer workstations. The company's three activities and their overhead cost drivers follow. Budgeted Cost Activity Cost Driver Activity Fabrication $ 93,600
Neal Company manufactures computer workstations. The company's three activities and their overhead cost drivers follow. Budgeted Cost Activity Cost Driver Activity Fabrication $ 93,600 Machine hours Assembly 110,000 Direct labor hours Inspection 86,800 Units inspected Budgeted Activity Usage 1,800 machine hours 2,200 direct labor hours 6,200 units Job 101's actual activity usage along with a partial customer profitability report follow. Machine Hours Job 101 25 MH Direct Labor Hours 30 DLH Units 15 Profitability Report-Job 101 Sales Cost of goods sold Direct materials Direct labor Overhead Gross profit Customer service costs Customer income Required: $ 8,700 $ 2,040 850 ? 2 600 ? 1. Compute activity rates using activity-based costing. 2. Use the results from part 1 to allocate overhead cost to Job 101. 3. Complete the profitability report for Job 101. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute activity rates using activity-based costing. Activity Budgeted Cost Budgeted Activity Usage Activity Rate
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