Question
Tableau DA 17-3 (Static): Mini-Case, Computing and assigning overhead costs using activity-based costing LO P3 Chrom Company manufactures two models, the XL and RD.
Tableau DA 17-3 (Static): Mini-Case, Computing and assigning overhead costs using activity-based costing LO P3 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 Budgeted Direct Labor Hours & Department Machine Hours by Department 150,000 h... 125,000 h... 100,000 h... Finishing 75,000 hrs Total: $8,000,000 Assembly Assembly Finishing Total: $8,000,000 125,000 h... 100,000 h... 75,000 hrs Assembly 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 Budgeted Overhead Costs by Cost Driver & Budgeted Usage Activity by Activity Supervision Maintenance Supervision Total: $8,000,000 Maintenance Note: Total overhead costs by department and total overhead costs by activity are equal. The costs are presented in two different ways here. +ableau Tableau DA 17-3 (Static): Mini-Case, Computing overhead activity rates using ABC 1. Using activity based costing and data from the lower half of the dashboard, compute overhead activity rates for both maintenance and supervision. Budgeted Activity cost pool Cost Budgeted Activity Usage Activity Rate Maintenance Supervision 100,000 MH 125,000 DLH por MH per DLH
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