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Several years after reengineering its production process, Detting, Corporation hired a new controller, Alana Metrgar, She develoged an ABC system very similar to the one
Several years after reengineering its production process, Detting, Corporation hired a new controller, Alana Metrgar, She develoged an ABC system very similar to the one used by Oettiling's chef rival. Part of the reatan Metrar developed the AbC systent was becaule Defting s protits had been declining even though the company had shifted its product mixtoward the product that had appeared most profitable under the old ssitem. Before adopting the new ABc sytem, the coinpiny had used a plantwide owerthead rate based on direct labor hours that was developed vears ago. For the upcomang vear, Dettling's budgeted ABC marufacturing overheud allocation rates are as follows: The number of parts is now a feasible aliccation base because Detiling recintly imtalird a plantwide computer sytem. Dettling produces two wheel modeles standard and Delure. fudgeted data for the Gopromint yeut we et followes: Wie the blue shaded areas on the Datcunswits tab for inputs. Iitequirements 1 Compute the total budpeted manufacturing overhead cost for the upcoming year. 2. Compute the manufacturing overhead cost per whecl of each model using ABC. 1. Compute the total budgeted manufacturing overhead cost for the upcoming year. (Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the instructions tab or if you type the numbers in, you will be marked wrong.) 2. Compute the manufacturing overhead cost per wheel of each model using ABC. (Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the Instructions tab or if you type the numbers in, you will be marked wrong.) 3. Compute the company's traditional plantwide overhead rate. (Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the instructions tab or if you type the numbers in, you will be marked wrong.)
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