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REAL Health R Us, Inc., uses a traditional product costing system to assign overhead costs uniformly to all its packaged multigrain products. To meet Food

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REAL Health R Us, Inc., uses a traditional product costing system to assign overhead costs uniformly to all its packaged multigrain products. To meet Food and Drug Administration requirements and to assure its customers of safe, sanitary, and nutritious food, Health R Us engages in a high level of quality control. Health Us assigns its quality control overhead costs to all products at a rate of 17% of direct labor costs. Its direct labor cost for the month of June for its low-calorie breakfast line is $74,000. In response to repeated requests from its financial vice president, Health R Us's management agrees to adopt activity-based costing. Data relating to the low- calorie breakfast line for the month of June are as follows Overhead Number of Cost Drivers Activity Cost Pools Cost Drivers Rate Used per Activity Inspections of material received Number of pounds $0.90 per pound 5,500 pounds In-process Inspections Number of servings 50.33 per serving 10,700 servings FDA certification Customer orders $12.00 per order 430 orders x] Your answer is incorrect. Try again. Compute the quality control overhead cost to be assigned to the low-calorie breakfal product line for the month of June (1) uting the traditional product costing system (direct labor cost is the cost driver), and (2) using activity-based costing. Traditional product costing Activity-based costing Quality control overhead cost to be assigned LINK TO TEXT LINK TO TEXT LINK TO TEXT i system Announcements CALCULATOR PUNTER VERSION HACK Your answer is partially correct. Try again. By what amount does the traditional product costing system undercost or overcost the low-calorie breakfast line? Undercost LINK TO TEXI LINK TO TEXT LINK TO TEXT Your answer is correct. Classify each of the activities as value-added or non-value-added, Activites Inspections of material received Non-value-added In-process inspections Non-value-added FDA certification Non-value-added Click if you would like to Show Work for this question: Open blank Show Work Copy Show Work from Previous attempt

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