Required information Bunker makes two types of briefcases, fabric and leather. The company is currently using a traditional costing system with labor hours as the cost driver but is considering switching to an activity-based costing system. In preparation for the possible switch, Bunker has identified two activity pools: moterials handling and setup. Pertinent data follow: Total estimated overhead costs are $243,000, of which $192,000 is assigned to the materials handling pool and $51,000 is assigned to the setup pool. Required: 1. Calculate the overhead assigned to the fabric case using the taditional costing system based on labor hours, 2. Calculate the overhead assigned to the fabric case using ABC. 3. Was the fabric case over- or undercosted by the traditional cost system compared to ABC ? Complete this question by entering your answers in the tabs below. Caiculate the overhead assigned to the fabric case using the traditional costing system based on labor hours. Note: Do not round intermediate calaulations and round your final answer tchthe nearest whole dollar amount. Required information Bunker makes two types of briefcases, fabric and leather. The company is currently using a traditional costing system with labor hours as the cost diver but is considering switching to an activity-based costing system. In preparation for the possible switch, Bunker has identified two activity pools: materials handling and setup. Pertinent data follow: Total estimated overhead costs are $243,000, of which $192,000 is assigned to the materials handling pool and $51,000 is assigned to the setup pool. tequired: 1. Calculate the overhead assigned to the fabric case using the traditional costing system based on labor hours. 2. Calculate the overhead assigned to the fabric case using ABC. 3. Was the fobric case over-or undercosted by the traditional cost system compared to ABC ? Complete this question by entering your answers in the tabs below. Caiculate the overhead assigned to the fabric case using ABC. Notes flound activity rates of edivity proportions and intermediate calculations to four decimal ploces. Round your final anwer to the nearest whole dollat. Required information Bunker makes two types of briefcases, fabric and leathet. The company is currently using a traditional costing system with labor hours as the cost driver but is considering switching to an activity-based costing system. In preparation for the possible switch, Bunker has identified two activity pools: materials handling and setup. Pertinent data follow: Total estimated overhead costs are $243,000, of which $192,000 is assigned to the materials handing pool and $51,000 is assigned to the setup pool. Required: 1. Calculote the overhead assigned to the fabric case using the traditional costing system based on labor hours 2. Calculate the overhead assigned to the fabric case using ABC. 3. Was the fabric case over-or undercosted by the traditional cost system compared to ABC? Complete this question by entering your answers in the tabs below. Was the fabric case over- or undercosted by the traditional cost system compsred to ABC
