Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Panamint Systems Corporation is estimating activity costs associated with producina disk drives, tapes drives, and wire drives. The indirect labor can be traced to four

image text in transcribed
image text in transcribed
Panamint Systems Corporation is estimating activity costs associated with producina disk drives, tapes drives, and wire drives. The indirect labor can be traced to four separate activity pools. The budgeted activity cost and activity base data by product are provided below. Procurement Scheduling Materials handling Product development Production Activity Cost Activity Base $396,000 Number of purchase orders 226,600 Number of production orders 420,100 Number of moves 736,200 Number of engineering changes 1,409,500 Machine hours Number of Engineering Changes Machine Hours Number of Units 15 1,700 2,200 4,300 7 9,400 10,100 24 2.000 Number of Number of Number Purchase Production of Orders Orders Moves Disk drives 4,160 290 1,430 Tape drives 2,300 195 680 Wire drives 12,200 780 4,400 The activity rate for the materials handling cost pool is a 52132 per move b. 5179.15 per mom Se 560.49 per move Bd. 564.53 pemove Kaumajet Factory produces two products: table lamps and desk lamps. It has two separate departments: Fabrication and Assembly. The factory overhead budget for the Fabrication Department is $548,564, using 472,900 direct labor hours. The factory overhead budget for the Assembly Department is $242,901, using 99,100 direct labor hours. If a table lamp requires 5 hours of fabrication and 8 hour of assembly, the total amount of factory overhead that Kaumajet Factory will allocate to table tamps using the multiple production department factory overhead rate method with an allocation base of direct labor hours if 10,000 units are produced in On 114.621 Ob $108.875 c. 114,388 Od. $117.744

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

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

IT Auditing Defined

Authors: Ibrahim Yussuf, Matthew Robinett

1st Edition

1645435148, 978-1645435143

More Books

Students also viewed these Accounting questions

Question

=+ (a) Show that A,(i) is trifling.

Answered: 1 week ago