please help me answer the second part that is marked wrong in red
Glassworks Inc. produces two types of glass shelving, rounded edge and squared edge, on the same production line. For the current period, the company reports the following data. Rounded Edge Squared Edge Total Direct materials $19,000 $ 43,200 $ 62,200 Direct labor 12,200 23,800 36,000 Overhead (3008 of direct labor cont) 36,600 71,400 108,000 Total cost $67,800 $ 138,400 $206,200 Quantity produced 10,500 ft. 14,100 ft. Average cont per ft. (rounded) 9.82 Glassworks's controller wishes to apply activity-based costing (ABC) to allocate the $108,000 of overhead costs incurred by the two product lines to see whether cost per foot would change markedly from that reported above. She has collected the following information. Overhead cont Category Activity Cont Pool) Supervision Depreciation of machinery Assembly line preparation Total overhead Cost $ 5,400 56,600 46,000 $108,000 She has also collected the following information about the cost drivers for each category (cost pool) and the amount of each driver used by the two product lines. (Round activity rate and cost per unit answers to 2 decimal places.) Usage Overhead Cost Category (Activity Cost Pool) Supervision Depreciation of machinery Assembly line preparation Driver Direct labor cost ($) Machine hours Setups (number) Rounded Edge $12,200 500 hours 40 times Squared Edge $23,800 1,500 hours 210 times Total $36,000 2,000 hours 250 times 4 Answer is complete but not entirely correct. ts 1. Assign these three overhead cost pools to each of the two products using ABC. Activity Overhead Activity Cost Drivers Supervision 5.400 $ 36,000 Direct labor cost Depreciation of 56,600 machinery 2,000 Machine hours Assembly line 46,000 250 preparation Setups Activity Rate 15.00 % of direct labor cost $ 28.30 per machine hour $ 184.00 per set up Rounded edge Activity rate 15.00 % Overhead assigned 1,830 of direct labor cost Activity driver incurred 12,200 500 Supervision Depreciation of machinery Assembly line preparation $ $ 28.30 per machine hour 14,150 IS 184.00 per set up 40 7,360 Total overhead cost 23,340 Squared edge Activity rate Activity driver incurred Overhead assigned 15.00 % Components Supervision Depreciation of machinery Assembly line preparation of direct labor cost per machine hour 23.800 $ 28.30 3,570 42,450 1,500 $ 184.00 per set up Total overhead cost 210 38,640 84,660 2. Determine average cost per foot for each of the two products using ABC. Rounded naman 2. Determine average cost per foot for each of the two products using ABC. Rounded edge Squared edge Total direct material cost $ 56,600 $ 3,570 Total direct labor cost 5,400 3,570 Total overhead cost(ABC) 14,150 42,450 Total manufacturing cost $ 76,150 $ 49,590 Total production(feet) 7,360 38,640 Average cost per foot $ 23,340.00 $ 84,660.00
