QUESTION 23 St. Vincent's, Inc., currently uses traditional costing procedures, applying $800,000 of overhead to products Beta and Zeta on the basis of direct labor hours. The company is considering a shift to activity based costing and the creation of individual cost pools that will use direct labor hours (DLH, production setups (SU) and number of parts components (PC) as cost drivers. Data on the cost pools and respective driver volumes follow Product Beta Zeta Pool No. 1 (Driver: DLH) 1,200 2,800 Pool No. 2 (Driver: SU) 45 55 Pool No. 3 Driver: PO 2.250 750 $3600 Pool Cost $ 160,000 5 2800 co DO The overhead cost allocated to Zeta by using activity based costing procedures would be O $200,000 5444,000 3560,000 $350,000 None of the answers is correct QUESTION 24 At a volume of 20.000 units, Almount industries reported sales revenues of 31.000.000, variable costs of $300,000, and fixed costs of $260,000. The company's break- eren point in units is 7.027 (rounded 8.667 rounded) 7.429 (roundedi 9.216 rounded) None of the answers is correct QUESTION 25 $225,0 Rocket Products manufactures three types of remote control devices: Economy, Standard, and Deluxe. The company, which uses activity based costing has identified five activities and related cost drivers. Each activity, its budgeted cost, and related cost driver is identified below Activity Cost Cost Driver Material handling 00 Number of parts Material insertion 2,475 .000 Number of parts Automated machinery 840,0 00 Machine hours Finishing 170,0 00 Direct labor hours Packaging 170,0 00 Orders shipped Total 3,880 .000 The following information pertains to the three product lines for next year Economy Standard Deluxe 100 Unts to be produced 5,0 2,0 00 00 00 Orders to be shipped 1.00 0 500 200 Number of parts per un 10 15 25 Machine hours per unit 1 3 5 2 2 2 Assume that Rocket is using a clume-based costing system, and the preceding overhead couts are applied to all products on the basis of direct labor hours. The overhead cost that would be assigned to the Standard product line is closest to 3961,176 9646, 471 5456,471 $1,141,176 None of the answers is correct