Required information example, in cell B26 enter the formula "= B4*B8" te that the worksheet contains a section at the bottom titled "Determine the Product Margin Under a Traditional Cost System" that is not in the Review Proble this section, it is assumed that the traditional costing system allocates manufacturing overhead on the basis of the number of units produced. When complete at part of the worksheet should contain the following results: Determine the product margin for the OfficeMart orders under a traditional cost system Manufacturing overhead $ 500,000 Total activity 1,000 units Manufacturing overhead per unit $ 500 per unit 6 Sales $ 47,600 58 Costs: 59 Direct materials $ 14,400 60 Direct labor 4,000 61 Manufacturing overhead 40,000 58,400 62 Traditional costing product margin $ (10,800) 53 After entering formulas in all of the cells that contained question marks, verify that the dollar amounts match the numbers in the Review Problem. Check your worksheet by doubling the units ordered in cell B16 to 160. The customer margin under activity-based costing should now be $7,640 and the traditional costing product margin should be $(21,600). If you do not get these results, find the errors in your worksheet and correct them. - - 1: -1.:.. .. - 1: -1. 460 - P.rev. 1 2 of 7 Next > Q Search INLOCO DELLFormat Painter BIU- - A . E Merge & Center ~ % Conditional Format as Cell Inser Formatting ~ Table . Styles Clipboard IN Font Alignment Number Styles 18 X - fx A B C D E F G H K Data Manufacturing overhead $500,000 Selling and administrative overhead $300,000 Assembling Processing Supporting Units Orders Customers Other Manufacturing overhead 50% 35% 5% 0% Selling and administrative overhead 10% 45% 25% 20% 0 Total activity 1,000 250 100 units orders customers OfficeMart orders: Customers 1 customer Orders 4 orders Number of filing cabinets ordered in total 80 units Selling price $595 8 Direct materials $180 9 Direct labor $50 Enter a formula into each of the cells marked with a ? below Review Problem: Activity-Based Costing 4 Perform the first stage allocations Assembling Processing Supporting Units Orders Customers Other Total 6 Manufacturing overhead ? ? 7 Selling and administrative overhead ? 8 Total cost 29 0 Compute the activity rates Total Cost Total Activity Activity Rate 1 Activity Cost Pools Chapter 7 Form + Ready Accessibility: Good to go 44.F Q Search CloudyA B C D E F G H 31 Activity Cost Pools Total Cost Total Activity Activity Rate 32 Assembling units ? units ? per unit 33 Processing orders ? orders ? per order 34 Supporting customers ? customers ? per customer 35 36 Compute the overhead cost attributable to the OfficeMart orders 37 Activity Cost Pools Activity Rate Activity ABC Cost 38 Assembling units ? per unit ? units ? 39 Processing orders ? per order ? orders ? 40 Supporting customers ? per customer ? customer - ? 41 42 Determine the customer margin for the OfficeMart orders under Activity-Based Costing 43 Sales 44 Costs: 45 Direct materials 46 Direct labor 47 Unit-related overhead 48 Order-related overhead 49 Customer-related overhead 50 Customer margin 51 52 Determine the product margin for the OfficeMart orders under a traditional cost system 53 Manufacturing overhead ? 54 Total activity ? units 55 Manufacturing overhead per unit ? per unit 56 57 Sales ? 58 Costs: 59 Direct materials 60 Direct labor ? 61 Manufacturing overhead Chapter 7 Form + Ready Accessibility: Good to go 44 .F