Product-Costing Accuracy, Consumption Ratios, Activity Rates, Activity Costing

Tristar Manufacturing produces two types of battery-operated toy soldiers: infantry and special forces. The soldiers are produced by using one continuous process. Four activities have been identified: machining, setups, receiving, and packing. Resource drivers have been used to assign costs to each activity. The overhead activities, their costs, and the other related data are as follows:

Product	Machine Hours	Setups	Receiving Orders	Packing Orders
Infantry	27,500	300	900	1,600
Special forces	20,000	100	100	1,800
Costs	$80,000	$24,000	$22,000	$30,000

Required:

1. Calculate the total overhead assigned to each product by using only machine hours to calculate a plantwide rate. Round your interim rate calculation to two decimal places, if required.

Infantry	$
Special forces	$

2. Calculate consumption ratios for each activity. Round your answers to two decimal places.

Product	Machine Hours	Setups	Receiving Orders	Packing Orders
Infantry
Special forces

3. Calculate a rate for each activity by using the associated driver. If required, round your answers to two decimal places.

Machining	$ per machine hour
Setups	$ per setup
Receiving	$ per receiving order
Packing	$ per packing order

4. Assign the overhead costs to each product by using the activity rates computed in Requirement 3.

	Infantry		Special Forces
Machining	$		$
Setups
Receiving
Packing
Total	$		$