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The Dawson Company manufactures small lamps and desk lamps. The following shows the activities per product and the total overhead information: Setups 3,800 Inspections 9,300
The Dawson Company manufactures small lamps and desk lamps. The following shows the activities per product and the total overhead information: Setups 3,800 Inspections 9,300 15,500 Assembly (dlh) 44,000 Small Lamps - 4,300 units Desk Lamps - 7,800 units 7,600 44,000 Activity Pool Setups Inspections Assembly (dlh) Activity Base 11,400 24,800 77,000 Budgeted Amount $96,900 $166,160 $331,100 Calculate the overhead per unit to be charged to small lamps. Oa. $33.00 Ob. $66.00 Oc. $112.20 Od. $85.80 Given the following information, determine the activity rate for setups. Activity Pool Activity Base Budgeted Amount Setups 9,300 $51,200 Inspections 23,300 $122,100 Assembly (DLH) 78,000 $384,500 Oa. $5.24 Ob. $5.51 Oc. $5.04 Od. $4.93 Panamint Systems Corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives. The indirect labor can be traced to four separate activity pools. The budgeted activity cost and activity base data by product are provided below. Activity Base Procurement Number of purchase orders Scheduling Materials handling Product development Production Activity Cost $356,300 $242,200 $435,400 $776,800 $1,586,200 Number of production orders Number of moves Number of engineering changes Machine hours Number of Purchase Orders Number of Production Orders Number of Moves Number of Engineering Changes Machine Hours Number of Units Disk drives 310 1,300 14 3,890 2,000 Tape drives 195 770 4 2,500 9,600 10,200 2,400 3,700 2,000 Wire drives 11,300 880 4,100 21 Determine the activity-based cost for each tape drive unit. Oa. $241.19 Ob. $910.64 Oc. $20.73 Od. $284.69
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