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Required Information Tableau DA 4-3: Mini-Case, Computing and assigning overhead costs using activity-based costing LO P3 Chrom Company anstres tremadesthe XL and RD. It has
Required Information Tableau DA 4-3: Mini-Case, Computing and assigning overhead costs using activity-based costing LO P3 Chrom Company anstres tremadesthe XL and RD. It has two departments, assemby and finishing. The company wants to sign busgeted overhead costs to tivo offerent models to better understand the profitability of esch model The Tobes Dashboard provides sets for our endlya's. Budgeted Overhead Costs by Budgeted Direct Labor Hours & Department Machine Hours by Department 150,000. 125.000 h. Finishing 100,000 h 75,000 hrs Total: $8,000,000 Asembly Assembly 50.000 hrs Assembly 25,000 hrs Finishing Finishing Direct Labor Hours Machine Hours Budgeted Overhead Costs by Activity Cost Driver & Budgeted Usage by Activity Supervision Maintenance Supervision Total: $8,000,000 Maintenance does not indicate completion Return to guests Note: Total overhead costs by department and total overhead costs by activity are equal. The costs are presented in two different ways here. +obleau Tableau DA 4.3: Mini-Case, Assigning overhead costs and making decisions 2 Chrom produced 25.000 units of XL and 25.000 units of RD. Each unit of the XL model used 2 direct labor hours and 1 machine hour. Each unit of the RD model used 3 direct labor hours and 3 machine hours. (a) Compute the overhead cost per unt of each model using ABC (b) Alternatively. compute the overhead cost per unit of each model using a single plantwide overhead rate based on direct labor hours 3. The company gives a bonus to production managers based on their ability to lower the cost of their assigned model. a. Which overhead cost allocation method would the XL production manager prefer? b. Which overhead cost allocation method would the RD production manager prefer? Answer is not complete. Complete this question by entering your answers in the tabs below. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 2A Required 25 Required 3 Compute the overhead cost per unit of each model using ABC. XL Activity Maintenance Activity Usage RD Activity Rate 80 per MH Allocated cost MH Activity Usage MH Allocated Gast 15 DL Activity Rate per MH per DLH ls 16 per DLH Supervision Totals Units produced Overeados per unt DLH 5 0 5 0 0 0 Required 28 >
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