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need help asap!! original question with the answer Assume that Oralelas identined three actMycost pools Pool Cost Cost Driver Assembly 5632.500 Directibor hours Setup 36.000
need help asap!!
original question with the answer
Assume that Oralelas identined three actMycost pools Pool Cost Cost Driver Assembly 5632.500 Directibor hours Setup 36.000 Number of setups per batch Packaging 261000 Wericht () Given these activity pools and cost drivers how much overhead should be allocated to each productRound per unit rates to 2 decimal places, es 354 and final answers to decimal places es 45,286) AM-2 FM9 358000 Total allocated overhead 555000 (1) What overhead cost per unit will be allocated to each product? (Round answers to 2 decimal places, AM-2 FM-9 Overhead cost per unit 1432 $ 138.75 Total direct labour hours required for the both products = 12,500hrs (AM-2) +15,000hrs (FM-9) = 27,500hrs Total overhead cost of $929,500 for both products would be allocated as follows; Total overhead costs * Direct labour hour for a product/Total Labour hours AM-2: 929,500 * 12,500 / 27,500 = $422,500 FM-9: 929,500 * 15,000 / 27,500 = $507,000.i). AM-2 FM-9 Overhead allocated to each $422,500 $507,000 product .. ii). Per unit overhead cost = Total overhead cost allocated in (i) / Number of units produced Number of units produced = 25,000 in AM-2 and 6,000 in FM-9 so, Per unit overhead cost of AM-2 = 422,500 / 25,000 = $16.9 per unit. Per unit overhead cost of FM-9 = 507,000 / 6,000 = $84.5 per unit. AM-2 $16.9 FM-9 $84.5 Overhead cost per unit Oriole is an electronics components manufacturer. Information about the company's two products follows: AM-2 Units produced Direct labor hours required for production Units per batch Shipping weight per unit 25,000 12.500 5.000 0.50 lbs. FM-9 6,000 15,000 600 10 lbs. The company incurs $929.500 in overhead per year and has traditionally applied overhead on the basis of direct labor hours. (a) (1) How much overhead will be allocated to each product using the traditional direct labor hours allocation base? (Round per unit rates to 2 decimal places, eg. 3.54 and final answers to decimal places, eg. 45,286) AM-2 FM-9 Overhead allocated to each product ( What overhead cost per unit will be allocated to each product? (Round answers to 2 decimal places, es, 15.25.) AM-2 FM-9 Overhead cost per unit Assume that Orlole has identined three activity cost pools Pool Cost Cost Driver 5632.500 Directibor hours Assembly Setup 36.000 Number of setups (per batch) Packaging 267.000 Welch Given these activity pools and cost drivers. how much overhead should be allocated to each product (Round per tenirates to 2 decimal places a 3.54 and final answers to O decimal places es 45.286) AM2 FM9 355000 Total allocated overhead 358000 ID) What overhead cost per unit will be allocated to each product? (Round answers to 2 decimal places, AM-2 FM-9 Overhead cost per unit 14,32 S 138.75 Step by Step Solution
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