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Sheridan, inc., uses a traditional product costingsystem to assign overhead costs uniformly to all its packaged multigrain products. To meet Food and Drug Administration requirements

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Sheridan, inc., uses a traditional product costingsystem to assign overhead costs uniformly to all its packaged multigrain products. To meet Food and Drug Administration requirements and to assure its customers of safe, sanitary, and nutritious food, Sheridan engages in a high level of quality control. Sheridan assigns its quality-control overhead costs to all products at a rate of 17% of direct labor costs, its direct labor cost for the month of June for its low-calorie breakfast line is $70,500. In response to repeated requests from its financial vice president, Sheridan's management agrees to adopt activity-based costing Data relating to the low-calorie breakfast line for the month of June are as follows. (a) Compute the quality control overhead cost to be assigned to the low-calorie breakfast product line for the month of June (2) using the traditional product costing system (direct iabor cost is the cost driver) -and (2) using activity-based costing Switty Inc. sells a high-speed retrieval system formining information. It provides the following information for the year. Owerhead is applied on the basis of direct labor hours. (a) Compute the predetermined overhead rate. (Round answer to 2 decimal ploces, eg. 12.25J ) Predetermined overhead rate per direct labor hour Bonita Industries has three activity cost pools and two products. It estimates production 2,000 units of Product BC113 and 1,000 of Product AD908. Having identified its activity cost pools and the cost drivers for each pool, Bonita accumulated the following data relative to those activity cost pools and cost drivers. Using the above data, do the following: (a) Prepare a schedule showing the computations of the activity-based overhead rates per cost driver. Prepare a schedule showing the computations of the activity-based overhead rates per cost driver. Attempts: 0 Using multiple attempts will impact your score. 105 storereduction after attempt 1

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