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pleasw help with entire answer Exercise 4-1 (Video) Saddle Inc. has two types of handbags: standard and custom. The controller has decided to use a
pleasw help with entire answer Exercise 4-1 (Video) Saddle Inc. has two types of handbags: standard and custom. The controller has decided to use a plantwide overhead rate based on direct labor costs. The president has heard of activity-based costing and wants to see how the results would differ if this system were used. Two activity cost pools were developed: machining and machine setup. Presented below is information related to the company's operations, Standard Custom Direct labor costs $50,000 $100,000 Machine hours 1,500 1,200 Setup hours 90 390 Total estimated overhead costs are $294,600. Overhead cost allocated to the machining activity cost pool is $189,000, and $105,600 is allocated to the machine setup activity cost pool. Compute the overhead rate using the traditional (plantwide) approach. (Round answer to 2 decimal places, e.g. 12.25.) Predetermined overhead rate % of direct labor cost Compute the overhead rates using the activity-based costing approach. Machining per machine hour $ Machine setup $ per setup hour Determine the difference in allocation between the two approaches. Compute the overhead rates using the activity-based costing approach. Machining per machine hour $ Machine setup $ per setup hour Determine the difference in allocation between the two approaches. Traditional costing Standard $ Custom Activity-based costing Standard Custom Click if you would like to Show Work for this question: Open Show Work
pleasw help with entire answer
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