Question
Sabroso Chocoloate Company has two activities. The cost of setting up equipment is driven by setup hours; baking costs are driven by oven hours. The
Sabroso Chocoloate Company has two activities. The cost of setting up equipment is driven by setup hours; baking costs are driven by oven hours.
The company produces two products: Fudge and Cookies, which have the following information.
| Fudge | Cookies | Activity Rates | ||||
| Direct Materials & Direct Labor | $484,530 | $527,084 | ||||
| Units Produced | 9,863 | 24,106 | ||||
| Setup hours | 3,437 | 1,241 | $ 59 | |||
| Oven hours | 1,003 | 5,430 | $ 153 | |||
| Plantwide Activity Rate | $ 208 |
Using Activity-Based Costing, what is the total overhead assigned to Cookies?
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Continuity Management Audit A Complete Guide
Authors: Gerardus Blokdyk
2019 Edition
0655845860, 978-0655845867
