Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Overhead Rate P 6.20 4.70 Items 15 through 20 are based on the following information. Sparky Co. manufactures a variety of electric razors used by

image text in transcribed

image text in transcribed

Overhead Rate P 6.20 4.70 Items 15 through 20 are based on the following information. Sparky Co. manufactures a variety of electric razors used by both men and women for hair removal. The company's plant is partially automated however, some manual labor is employed. The company uses the activity based cost system. Listed below is cost driver information used in the product-costing system: Cost Overhead Budgeted Budgeted Cost Cost Pool Cherhead Cose Driver Driver Level Machinery depreciation P168.640 maintenance 27.200 Machine hours Factory depreciation / utilities / insurance 129.250 27.500 Machine hours Product design 554,400 38.500 Hours in design 14.40 Material purchasing storing 1,078,000 134,750 Raw materials 8.00 Two current product orders had the following requirements: Men's Razor Women's Razor Units produced and sold 20,000 26,000 Direct labor hours 30 40 Pounds of raw materials 860 Hours in design 20 23 Machine hours 65 50 750 305 a. c. a. c. Activity-Based Casting and Management 15. Utilizing ABC, how much overhead is assigned to the order for men's razors based on machine hours? P403.00 P708.50 b. P310.00 d. P545.00 16. Utilizing ABC, how much overhead is assigned to the order for women's razors based on machine hours? P403.00 P708.50 b. P310.00 d. P545.00 17. Utilizing ABC, how much overhead is assigned to the order for men's razors based on hours in design? P218.00 P331.20 b. P250.70 d. P288.00 18. Utilizing ABC, how much overhead is assigned to the order for women's razors based on hours in design? P218.00 c. P331.20 b. P250.70 d. P288.00 a. c. a. 19. Utilizing ABC, how much overhead is assigned to the order for men's razors based on pounds of raw materials? P6,000 P5,332 b. P6,880 d. P8,175 c. a. 20. Utilizing ABC, how much overhead is assigned to the order for women's razors based on pounds of raw materials? P6,000 P5,332 b. P6.880 d. P8,175 c. a. 21. Which of the following levels of costs should not be included in product costs for internal management reports that are used for decision making? Unit-level activities. c. Product-level activities. b. Batch-level activities. d. Facility-level activities. a. C. 22. Machining a part for a product is an example of a: Unit-level activity Product-level activity d. b. Batch-level activity Facility-level activity. a

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

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

Auditing Cases An Active Learning Approach

Authors: Mark S. Beasley, Frank A. Buckless, Steven M. Glover, Douglas F. Prawitt

2nd Edition

0130674842, 978-0130674845

More Books

Students also viewed these Accounting questions