Question
Pina Colada Industries has three activity cost pools and two products. It estimates production 2,000 units of Product BC113 and 1,000 of Product AD908. Having
Pina Colada Industries has three activity cost pools and two products. It estimates production 2,000 units of Product BC113 and 1,000 of Product AD908. Having identified its activity cost pools and the cost drivers for each pool, Pina Colada accumulated the following data relative to those activity cost pools and cost drivers.
Annual Overhead Data | Use of Cost Drivers per Product | |||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Activity Cost Pools | Cost Drivers | Estimated Overhead | Estimated Use of Cost Drivers per Activity | Product BC113 | Product AD908 | |||||||||
Machine setup | Setups | $ 17,500 | 35 | 25 | 10 | |||||||||
Machining | Machine hours | 101,000 | 5,050 | 1,060 | 3,990 | |||||||||
Packing | Orders | 32,940 | 540 | 160 | 380 |
Prepare a schedule assigning each activitys overhead cost to the two products.
BC113 | AD908 | |||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|
Activity Cost Pools | Use of Cost Drivers per Product | Activity-Based Overhead Rates | Cost Assigned | Use of Cost Drivers per Product | Activity-Based Overhead Rates | Cost Assigned | ||||||
Machine setup | enter a number of setups | $ enter a dollar amount | $ enter a dollar amount | enter a number of setups | $ enter a dollar amount | $ enter a dollar amount | ||||||
Machining | enter a number of machine hours | $ enter a dollar amount | enter a dollar amount | enter a number of machine hours | $ enter a dollar amount | enter a dollar amount | ||||||
Packing | enter a number of orders | $ enter a dollar amount | enter a dollar amount | enter a number of orders | $ enter a dollar amount | enter a dollar amount | ||||||
Total assigned costs | $ enter a total amount |
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