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Paramint Systems Corporation is estimating activity costs associated with producing disk drives, tupes drives, and wire drives. The indirect labor can be traced to four
Paramint Systems Corporation is estimating activity costs associated with producing disk drives, tupes 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 $ 370,000 250.000 500,000 730,000 1,500,000 Activity Base Number of purchase orders Number of production orders Number of moves Number of engineering changes Machine hours Number Number of of Purchase Production Order Orders Number Number of Machine Number of Engineering Hours of Moves Changes Units 300 1,400 10 2.000 2.000 Disk drives Tape drives Wire drives 4.000 4.000 150 800 10 8.000 4.000 12.000 800 4,000 25 10,000 2.500
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