Saved Chrom Company manufactures two models, the XL and RD. It also has two departments, assembly and finishing. The company wants to assign budgeted overhead costs to its two different models to better understand the profitability of each model. The Tableau Dashboard provides data for our analysis. Budgeted Overhead Costs by Department Budgeted Direct Labor Hours & Machine Hours by Department 150,000 h... 125,000 h... Finishing 100,000 h... 75,000 hrs Assembly Total: $8,000,000 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 Prey 1 of 1 Next Churl=https%253A%252F%252Fnewconnect.mheducation Maps B Announcements - Saved Budgeted Overhead Costs by Cost Driver & Budgeted Usage Activity by Activity Supervision Maintenance Supervision Total: $8,000,000 ED Maintenance Note: Total overhead costs by department and total overhead costs by activity are equal. The costs are presented in two different ways here. ** tableau whe 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 unit 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? Complete this question by entering your answers in the tabs below. Required 2A Required 2B Required 3 Compute the overhead cost per unit of each model using ABC XL RD Allocated cost Allocated cost Activity Maintenance Supervision Totals Units produced Overhead cost per unit Activity Usage DLH $ s Activity Rate 60 per MH 16 per DLH Activity Usage MH DLH $ $ Activity Rate 60 per MH 16 per DLH $ 0 $ 0 0 0 Rueda Required 28 > legg.com/homework-help/questions-and-answers/chrom-co-manufactures-two-models-xl-rd-also- YouTube Maps R Announcements - Apps M Gmail DATA FOR GRAPHS: 1) Est. Overhead costs by Department a) Finishing: $3,000,000 b) assembly: $5,000,000 2) Estimated Direct Labor Hours & Machine Hours by Department a) Direct labor hours: Finishing=25,000 hr, Assembly=100,000 hr b) Machine hours: finishing =30,000 hr, assembly = 70,000 hr 3) Est. Overhead costs by activity a) supervision : $2,000,000 b) maintenace: $6,000,000 Cost Driver & Exp. Usage by Activity a) Supervison: 125,000 direct labor hours b) Maintance: 100,000 machine hours Saved Chrom Company manufactures two models, the XL and RD. It also has two departments, assembly and finishing. The company wants to assign budgeted overhead costs to its two different models to better understand the profitability of each model. The Tableau Dashboard provides data for our analysis. Budgeted Overhead Costs by Department Budgeted Direct Labor Hours & Machine Hours by Department 150,000 h... 125,000 h... Finishing 100,000 h... 75,000 hrs Assembly Total: $8,000,000 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 Prey 1 of 1 Next Churl=https%253A%252F%252Fnewconnect.mheducation Maps B Announcements - Saved Budgeted Overhead Costs by Cost Driver & Budgeted Usage Activity by Activity Supervision Maintenance Supervision Total: $8,000,000 ED Maintenance Note: Total overhead costs by department and total overhead costs by activity are equal. The costs are presented in two different ways here. ** tableau whe 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 unit 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? Complete this question by entering your answers in the tabs below. Required 2A Required 2B Required 3 Compute the overhead cost per unit of each model using ABC XL RD Allocated cost Allocated cost Activity Maintenance Supervision Totals Units produced Overhead cost per unit Activity Usage DLH $ s Activity Rate 60 per MH 16 per DLH Activity Usage MH DLH $ $ Activity Rate 60 per MH 16 per DLH $ 0 $ 0 0 0 Rueda Required 28 > legg.com/homework-help/questions-and-answers/chrom-co-manufactures-two-models-xl-rd-also- YouTube Maps R Announcements - Apps M Gmail DATA FOR GRAPHS: 1) Est. Overhead costs by Department a) Finishing: $3,000,000 b) assembly: $5,000,000 2) Estimated Direct Labor Hours & Machine Hours by Department a) Direct labor hours: Finishing=25,000 hr, Assembly=100,000 hr b) Machine hours: finishing =30,000 hr, assembly = 70,000 hr 3) Est. Overhead costs by activity a) supervision : $2,000,000 b) maintenace: $6,000,000 Cost Driver & Exp. Usage by Activity a) Supervison: 125,000 direct labor hours b) Maintance: 100,000 machine hours