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Required Information Greenwood Company manufactures two products-13,000 units of Product Y and 5,000 units of Product Z. The company uses a plantwide overhead rate based
Required Information Greenwood Company manufactures two products-13,000 units of Product Y and 5,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering Implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional Information is available for the company as a whole and for Products Y and Z: Activity Cost Pool Machining Machine setups Production design General factory Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost $ 231,600 $ 55,900 $ 77,000 $364,500 Expected Activity 12,00 MHS 138 setups 2 products 15,000 LHS Product Y 7,380 Product 2 4,789 Activity Measure Machining Number of setups Number of products Direct labor.hours 1 7.700 4. What is the activity rate for the Machine Setups activity cost pool? Achiv tyto per setup
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