Pillar Pillar Manufacturing Inc. ("the company") makes pillars, and is considering bidding on a job In order to submit this bid, the company needs to calculate the total cost of performing this job. Financial details for the proposed job are as follows:

Number of inspections

160

Number of machine hours

1,200

Number of direct labour hours

4,000

Direct materials

$42,000

Direct labour

$32,000

Number of material moves

50

The company has three different categories of overhead. The overhead costs for each of the categories for the next year are as follows:

Costs

Cost Driver

Expected Activity

Materials handling

$120,000

Material moves

8,000

Maintenance

$360,000

Machine hours

24,000

Inspection

$14,000

Inspections

4,000

The company applies overhead using a predetermined overhead rate based upon a budgeted direct labour hours of 100,000.

Using the above information answer all of the following questions.

Question 20 (1 point)

Question 20 options:

If the company used activity-based costing, calculate the total overhead cost that would be assigned for material handling to the job

Question 21 (1 point)

Question 21 options:

If the company used activity-based costing, calculate the total overhead cost that would be assigned for maintenance to the job

Question 22 (1 point)

Question 22 options:

If the company used activity-based costing, calculate the total overhead cost that would be assigned for inspections to the job

Question 23 (1 point)

Question 23 options:

If the company used activity-based costing, calculate the total of material cost + direct labour cost that would be assigned to the job

Question 24 (1 point)

Question 24 options:

If the company used activity-based costing, calculate the total cost that would be assigned to the job

Question 25 (2 points)

Question 25 options:

If the company allocated overhead to the job using a plantwide overhead rate, calculate the total overhead cost assigned to the job

Question 26 (1 point)

Question 26 options:

If the company allocated overhead to the job using a plantwide overhead rate, calculate the total cost assigned to the job

Question 27 (1 point)

It would not be appropriate to adopt an ABC policy if which of the following were true:

Question 27 options:

a)

All products consumed resources in a similar manner.

b)

The cost of developing individual cost pools was too great.

c)

All of the other answers are correct.

d)

The products being produced were quite similar.

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