Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Please I need require 2&3 just Approximately Relevant ABC Silven Company has identified the following overhead activities, costs, and activity drivers for the coming year:
Please I need require 2&3 just
Approximately Relevant ABC Silven Company has identified the following overhead activities, costs, and activity drivers for the coming year: Activity Expected Cost Activity Driver Activity Capacity $126,000 Number of setups 120 15,300 Number of orders 900 Setting up equipment Ordering materials Machining Receiving 134,400 Machine hours 11,200 21,600 Receiving hours 900 Silven produces two models of cell phones with the following expected activity demands: Model X Model Y 4,900 9,800 Units completed Number of setups 80 40 Number of orders 300 600 Machine hours 6,400 4,800 Receiving hours 300 600 Required: 1. Determine the total overhead assigned to each product using the four activity drivers. Total Overhead Assigned Model X $ 173,100 Model Y $ 124,200 7 2. Determine the total overhead assigned to each model using the two most expensive activities. The costs of the two relatively inexpensive activities are allocated to the two expensive activities in proportion to their costs. Round interim calculations to two decimal places and round your final answers to the nearest dollar. Total Overhead Assigned Model x $ 183,536 x 113,672 X Model Y $ 3. Using ABC as the benchmark, calculate the percentage error. Round your answers to two decimal places. Percentage Error Model X % Model Y %Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started