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Schell Company manufactures automobile floor matsIt currently has two product lines, the Standard and the DeluxeSuppose that Schell has conducted further research into its overhead
Schell Company manufactures automobile floor matsIt currently has two product lines, the Standard and the DeluxeSuppose that
Schell has conducted further research into its overhead and potential cost driversAs a result, the company has compiled the following
detailed informationbreaking total overhead into three cost pools:
2
quentity/
Coned by Deluxe Fisor Rat Line
Cost
Quantity/mo
Assigned to Pool
Conused y Standard Floor Mat Line
Cost Driver
Number of moves
61,843.00
42 moves
Mumber of inspections 5.9,585.00
520 inspections
Mumber of machine hours $13,566.00 3,070 machine hours
Activity Coat Pouls Material handling
Quality control
Machine maintenance
$10 inspections
4,070 machine hours
Required:
1Calculate the activity rates for each cost pool assuming Schell uses an ABC system. 2Calculate the amount of overhead that Schell will assign to the Standard floor mat line. 3Determine the amount of overhead Schell will assign to the Deluxe product line
Complete this question by entering your answers in the tabs below
Rea 1
Red 2 and 3
Calculate the activity rates for each cost pool assuming Schell uses an ABC system. (Round your answers to 2 decimal
places)
Activly Rais
Matenal Handling
per Material Move
Quality Control
per Inspection per Machine Hour
Machine maintenance
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