Please explain how to find the following questions in detail.
1.Compute the total overhead that should be assigned to the JLRP order. 2.What is the overhead cost per box of JLRP chemicals? (Round your answer to 2 decimal places. 3. Suppose the company were to use a single predetermined overhead rate based on machine hours. Compute the rate per hour. (Round your answer to 2 decimal places. ) 4.Suppose the company were to use a single predetermined overhead rate based on machine hours, how much overhead would be assigned to the JLRP chemical order? 5.Per box of JLRP chemicals. (Round your answer to 3 decimal places.) | | | | |
Rapid City Technology, Inc. manufactures chemicals used in agricultural pest control. The controller has established the following activity cost pools and cost drivers. Budgeted Level for Cost Driver 250 Budgeted Overhead Activity Cost Pool Cost Cost Driver Pool Rate $ 1,000,000 Number of setups $4,000 per setup Machine setups Material handlin Hazardous waste control Quality control Other overhead costs 75,000 lb. $4 per pound 10,000 lb. $10 per pound 300,000 100,000 300,000 800,000 Weight of raw material Weight of hazardous chemicals used Number of inspections Machine hours $150 per inspection $20 per machine hour 2,000 40,000 Total $ 2,500,000 An order for 1,000 boxes of a chemical product designated JLRP has the following production requirements. Machine setups Raw material Hazardous materials Inspections Machine hours 6 setups 9,000 pounds 2,100 pounds 8 inspections 550 machine hours