Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

need help with this one problem plesse Question 13 of 14 1/5 Show Attempt History Current Attempt in Progress Marigold, Inc. manufactures steel cylinders and

need help with this one problem plesse image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Question 13 of 14 1/5 Show Attempt History Current Attempt in Progress Marigold, Inc. manufactures steel cylinders and nozzles for two models of fire extinguishers: (1) a home fire extinguisher and (2) a commercial fire extinguisher. The home model is a high-volume (54.000 units), half-gallon cylinder that holds 2 1/2 pounds of multi- purpose dry chemical at 480 PSL. The commercial model is a low volume (10.200 units), two-gallon cylinder that holds 10 pounds of multi-purpose dry chemical at 390 PSI,Both products require 1.5 hours of direct labor for completion. Therefore, total annual direct labor hours are 96,300 or [1.5 hours (54.000 + 10,2001)Estimated annual manufacturing overhead is $1,575.500. Thus, the predetermined overhead rate is $16.36 or ($1,575.500 +96,300) per direct labor hour. The direct materials cost per unit is $18.50 for the home model and $26.50 for the commercial model. The direct labor cost is $19 per unit for both the home and the commercial models The company's managers identified six activity cost pools and related cost drivers and accumulated overhead by cost pool as follows: Activity Cost Pools Receiving Estimated Use of Drivers by Product Estimated Use of Cost Drivers Home Commercial 335.000 215.000 120,000 Cost Drivers Pounds Estimated Overhead 587.100 Type here to search O Bi 12:21 5 7 8 9 O Q 1 W E R T Y U 0 A S D F G H JK L Z C V B N . follows Activity Cost Pools Cost Drivers Receiving Pounds Forming Machine hours Assembling Number of parts Testing Number of tests Painting Gallons Packing and shipping Pounds Estimated Overhead $87,100 151,900 410130 53,040 52,580 820,750 $1,575,500 Estimated Use of Drivers by Product Estimated Use of Cost Drivers Home Commercial 335,000 215,000 120,000 35.000 27,000 8.000 217,000 165,000 52,000 25,500 15,500 10.000 5.258 3.680 1,578 335,000 215,000 120,000 X Your answer is incorrect Type here to search O BI (hp 1. 4 5 6 8 9 VW E R o S DF G H JK L CV 00 . Question 13 of 14 1/5 X Your answer is incorrect. Under traditional product costing, compute the total unit cost of each product. (Round answers to 2 decimal places, s. 12.50) Home Model Commercial Model Total unit cost $ e Textbook and Media X Your answer is incorrect. Under ABC.prepare a schedule showing the computations of the activity-based overhead rates per cost driver). (Round overhead rate to 2 decimal places, s. 12.25) Type here to search O BI hp 5 6 7 3 9 I W E R T U o S D F G H JIK CV B. N M Question 13 of 14 1/5 Under ABC, prepare a schedule showing the computations of the activity-based overhead rates (per cost driver). (Round overhead rate to 2 decimal places, eg. 12.25.) Activity Cost Pool Estimated Overhead Estimated Use of Cost Drivers Activity-Based Overhead Rate Receiving $ Pounds $ per pound per Forming Machine hours $ machine hour Assembling Parts $ per part Testing Tests per test Gallons $ Painting Packing and Shipping per gallon per pound Pounds S $ Type here to search 9 hop -1 2 3 4 5 6 7 8 9 in R C T o S D F G H J L NM Question 13 of 14 1/5 II Prepare a schedule assigning each activity's overhead cost pool to each product based on the use of cost drivers. (Round overhead cost per unit to 2 decimal places, es 12.25 and cost assigned to decimal places, es 2,500) Activity Cost Pool Estimated Use of Drivers Home Model Activity-Based Overhead Rates Cost Assigned Estimated Use of Drivers Receiving Forming Assembling Testing Painting Packing and Shipping Total costs assigned tal $ Type here to search i 9 12:32 PM 7/11/2020 5 8 9 E R T C o P S D G H 1 xcv B NM X Your answer is incorrect. Compute the total cost per unit for each product under ABC. (Round answer to 2 decimal places, eg. 12.25) Home Model Commercial Model Total cost per unit $ e Textbook and Media Your answer is correct. Classify each of the activities as a value-added activity or a non-value-added activity ype here to search o RE hp 2/3 5 6 8 9 o E R T U o P s F G H J K. ci B N M

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_2

Step: 3

blur-text-image_3

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

Financial Accounting An Introduction

Authors: Jacqui Kew, Alex Watson

4th Edition

0199046484, 978-0199046485

More Books

Students also viewed these Accounting questions