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Required information (The following information applies to the questions displayed below.) Starbright manufactures children car seats, strollers, and baby swings. Starbright's manufacturing costs are budgeted
Required information (The following information applies to the questions displayed below.) Starbright manufactures children car seats, strollers, and baby swings. Starbright's manufacturing costs are budgeted as follows: Factory utilities $90,000 Factory foremen salaries $89,000 Machinery setup costs $33,000 Total manufacturing overhead $212,000 The company uses activity-based costing to allocate its manufacturing overhead costs to products based on the following schedule: Overhead Cost Factory Utilities Factory foremen salaries Machine hours Allocation Base Direct labor hours Machine hours Number of production runs Estimated Activity Level 14,740 17,900 154 During the current month, the following levels of activities were incurred: $ Direct Labor Costs Direct Labor Hours Machine Hours Production Runs Units Produced Car Seats 55,750 4,460 5,600 40 1,400 Strollers $ 95,625 7,650 8,600 68 3,300 Baby Swings $32,875 2.630 3,700 Total $184,250 14,740 17.900 154 5,730 1,030
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