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Please show your calculation on each part. I want to know where are these numbers coming from, thank you c makes or irduslrial and uhsnraiion
Please show your calculation on each part. I want to know where are these numbers coming from, thank you
c makes or irduslrial and uhsnraiion the recent 111-TEK MANI TACTUNL&G sold Gross margin Sales administraivc cxpcmscs Nel loss units unit ring Aerhexd products using and The nmpanys tradilinn-'l systejn allocates manu Base. Additional the donars as [hc allocation Dirccl Direct labour (MHnufacturing overhead '7of gum] s sold lines is The comlur,y has crcalcd an activily-hased cosling system to cva, protilahiIilB pmducls_ Hi-Tek's AUC team concluded that and S 100,118K] of [hc ccnnpanys expenses could hc Iraccd and cesp cli re'naindcr sc!ling and administrative expenses were [n ABC also C Ompany has an to that S advertising c and Selling and administrative Were organiza'i. n in ABU thc manu'cturmg overhead below: Product-wslaining (nurnhcr of products) Other Total manufacturing overhead costs ind: L 7-14 a guide. compute product margins for the and under traditional 2. Using Exhibit 7-12 a guide. compute the margins and the costing J Using 7- IS guide. prepare a quantil ivec01 urison 01 thc traditional and activity-by why thc traditional and activitpbased cost assignme S Sales Direct materials Direct labor Manufacturing overhead applied @ S2.00 per direct labor-dollar Total manufacturing cost Product margin 13300 436,300 200,000 T500 S700,QQQ 251,700 104,000 Total 688,000 304,000 608,000 200.000 S GSs.OOo 304.000 Selling n d Total 5.63,200 3.1.3.6,300 S SOO,QOO Advertising Machining Setups product sustaming assigned 10 products assigned to 200, i HW 50.000 126,000 g 1.500 34.2% 6SS.OOO '04.000 33.3%100.000 59.0% 87300 410%213.500 20.0% 126.000 80.0%157.500 2. The Step is the activity Cost Setups Product sustaining s213500 S120.ooo Total 152,500 MIIR 8300 2'1,700 104,000 100,000 87,500 126.000 S420 S60.OOO MILR per setup per product 688.000 304.000 I so,ooo 213,500 157.500 S46.300 63.4% 6SS,OOO Direct labor 200.000 104.000 Advertising 50.000 Indirect Costs; Sales materials Direct labor Advertising Machining Setups Produ et sustaining Total cost Product margin s-1.AQQLQ! 436,300 200,000 50,000 126,000 31,500 Machining Setups sustatmng Total cost assigned to products Costs not assigned to produ Selling and administrative Other Total cost 126.000 31.500 590%87.500 20.0%126.000 sm.u 400,000 LL'.OQ
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