Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Need some help solving this question. there are 4 parts. if you could show the work you used to solve it that would be great.
Need some help solving this question. there are 4 parts. if you could show the work you used to solve it that would be great. thanks.
Hazelnut Corp, manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total of $154,321 in overhead The company has identified the following information about its overhead activity cost pools and the two product lines: Cost Quantity/Amount Quantity/Amount Assigned Consumed by Consumed by Activity Cost Pool Cost Driver to Pool Basto Luxury Materials handling Number of moves $ 3,871 16 noves 63 stoves Quality control Number of inspections 3.30,450 240 Inspections 120 Inspections Machine maintenance anber of machine hours $120,000 6,000 machine hours 4,000 machine hours . Required: 1. Suppose Hazelnut used a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) Basic Model Luxury Model Overhead Assigned Overhead Assigned 2. Calculate the activity rates for each cost pool in Hazelnut's ABC system. (Round your answers to the nearest whole dollar.) Activity Rates Material Handling Quality Control Machine Maintenance per Move per inspection per Machine Hour 3. Calculate the amount of overhead that Hazelnut will assign to the basic line if it uses an ABC system. (Round your intermediate and final answers to the nearest whole dollar) Basic Model Material Handling Quality Control Machine Maintenance Total Overhead Assigned 4. Determine the amount of overhead Hazelnut will assign to the luxury line if it uses an ABC system(Round your intermediate and final answers to the nearest whole dollar.) Luxury Model Materials Handling Quality Control Machine maintenance Total Overhead Assigned $ Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started