Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Panamint Systems Corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives. The indirect labor can be traced to four
Panamint Systems Corporation is estimating activity costs associated with producing 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 Activity Cost Activity Base $317,100 Number of purchase orders 219,300 Number of production orders 430,300 Number of moves 700,100 Number of engineering changes 1,548,600 Machine hours Production Number Number of Purchase Orders Number of Production Orders Number of Number of Engineering Changes Machine Hours of Units Moves Disk drives 4,120 410 1,310 15 2.500 1,500 Tape drives 1,700 245 780 6 8,600 3,600 Wire drives 12,600 880 4,500 25 10,200 2,800 The activity rate for the product development cost pool is a. $68,488 per engineering change b. $15,220 per engineering change c. $7,610 per engineering change d. $31,961 per engineering change
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