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Remaining Time 3hours, 07 minutes, 23 seconds Question Completion Status The following overhead cost information able for the Hobson Corporation a manufacturer of computer monitor

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Remaining Time 3hours, 07 minutes, 23 seconds Question Completion Status The following overhead cost information able for the Hobson Corporation a manufacturer of computer monitor Activity Alocation Base Overhead Cost Purchasing Number of purchase orders $ 400 000 Receiving Number of shipments of material 100 000 Machine setups Number of setups 300 000 Assembly Direct labour hours 125 000 Quality control Number of inspections 75 000 During the year, 1000 purchase orders were issued, 300 shipments of material were received setup occurrect and 750 inspections were conducted . Employees worked a total of 10 000 direct labour hours on assembly of the monitors The corporate managers are trying to decide whether they should use a traditional overhead allocation method based on direct labour assembly hours, or swich to an activity based costing system Assume that a batch of 200 monitors has resulted in the futlowing cost activity Purchase orders 7 Shipments of material received 12 Machine setups 2 Direct labour assembly hours 50 Inspections 3 Required a) Determine the head allocation for the batch of 200 monitors under the traditional overhead allocation based on direct labour houts. [10 Marks by Determine the overhead allocation for the bath under activity based costing (10 Marks) Io Explain which costing method is better for the company is Marks) For the bar, press ALT+F10 PC or ALTHANF Mac Chuck None of Submit on and it Click Save All Answers to sou allows Remaining Time 3hours, 07 minutes, 23 seconds Question Completion Status The following overhead cost information able for the Hobson Corporation a manufacturer of computer monitor Activity Alocation Base Overhead Cost Purchasing Number of purchase orders $ 400 000 Receiving Number of shipments of material 100 000 Machine setups Number of setups 300 000 Assembly Direct labour hours 125 000 Quality control Number of inspections 75 000 During the year, 1000 purchase orders were issued, 300 shipments of material were received setup occurrect and 750 inspections were conducted . Employees worked a total of 10 000 direct labour hours on assembly of the monitors The corporate managers are trying to decide whether they should use a traditional overhead allocation method based on direct labour assembly hours, or swich to an activity based costing system Assume that a batch of 200 monitors has resulted in the futlowing cost activity Purchase orders 7 Shipments of material received 12 Machine setups 2 Direct labour assembly hours 50 Inspections 3 Required a) Determine the head allocation for the batch of 200 monitors under the traditional overhead allocation based on direct labour houts. [10 Marks by Determine the overhead allocation for the bath under activity based costing (10 Marks) Io Explain which costing method is better for the company is Marks) For the bar, press ALT+F10 PC or ALTHANF Mac Chuck None of Submit on and it Click Save All Answers to sou allows

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