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Need help fixing please Need help fixing what's in red. In addition to what goes in the allocated cost section. Tent Master produces Pup tents
Need help fixing please
Need help fixing what's in red. In addition to what goes in the allocated cost section.
Tent Master produces Pup tents and Pop-up tents. The company budgets $252,000 of overhead cost and 42,000 direct labor hours. Additional information follows. Per Unit Pup tent Pop-up tent Selling Price $.78 73 Direct Materials $ 20 25 Direct Labor $ 45 30 Problem 4-3A (Static) Using activity-based costing to allocate overhead cost, and compute overhead cost per unit and gross profit per unit LO P3 Activity Assembly Electricity Materials purchasing Total Budgeted Cost $ 168,000 24,000 60,000 $ 252,000 Activity Cost Driver Direct labor hours (DLH) Machine hours (MH) Purchase orders (PO) Budgeted Activity Usage 42,000 10,000 400 Required: 1. Compute an activity rate for each activity using activity-based costing. 2. The following actual activity usage produced 10,000 Pup tents and 6,000 Pop-up tents. Allocate overhead cost to Pup tents and to Pop-up tents and compute overhead cost per unit for each product. Activity Cost Driver Direct labor hours (DLH) Machine hours (MH) Purchase orders (PO) Activity Usage Pup tents Pop-up tents 30,000 12,000 4,000 6,000 150 250 3. Compute product cost per unit for Pup tents and for Pop-up tents. 4. For each product, compute the gross profit per unit (selling price per unit minus the product cost per unit). Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 1 Required 2 Required 3 Required 4 Compute an activity rate for each activity using activity-based costing. (Round "Activity Rate" to 2 decimal places.) $ Budgeted Cost $ 168,000 24,000 60,000 Assembly Electricity Materials purchasing Budgeted Activity Usage 42,000 direct labor hours 10,000 machine hours 400 purchase orders Activity Rate 4.00 per direct labor hour 2.00 per machine hour $ $ 150.00 per purchase order Allocated Cost Activity Usage 30,000 direct labor hours $ Activity Rate 4.00 per direct labor hour 2.00 per machine hour 150.00 per purchase order 4,000 machine hours Activity Assembly Electricity Materials purchasing Total allocated cost Units produced Overhead cost per unit A A 120,000 8,000 22,500 150,500 150 purchase orders $ Activity Assembly Electricity Materials purchasing Allocate overhead to Pop-up tent Activity Usage Activity Rate 12,000 direct labor hours $ 4.00 per direct labor hour 6,000 machine hours $ 2.00 per machine hour 250 purchase orders $ 150.00 per purchase order Allocated Cost $- 48,000 12,000 37,500 Total allocated cost $ 97,500 Units produced Overhead cost per unit d costing. (Round "Activity Rate" to 2 decimal places.) ed Activity Usage direct labor hours Activity Rate $ 4.00 per direct labor hour $ 2.00 per machine hour $ 150.00 per purchase order machine hours purchase orders Required 2 > red 1 000 direct labor hours $ $ 120,000 000 machine hours 4.00 per direct labor hour 2.00 X per machine hour 150.00 per purchase order $ $ 8.000 150 22,500 purchase orders $ 150,500 Allocate overhead to Pop-up tent Allocated Cost Activity Usage $ 48,000 $ 2,000 direct labor hours Activity Rate 4.00 per direct labor hour 2.00 per machine hour 150.00 per purchase order 12,000 6,000 machine hours 37,500 $Step by Step Solution
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