Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

This is a long one but it is a singular question on mheducation, please help! Bike-O-Rama produces two bike models: Voltage and EasyRider. Departmental overhead

This is a long one but it is a singular question on mheducation, please help!
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Bike-O-Rama produces two bike models: Voltage and EasyRider. Departmental overhead data follow. Department Fabricating Assembly Budgeted Cost $ 124,700 105,000 Allocation Base Machine hours (MH) Direct labor hours (DLH). Budgeted Usage 8,600 MH 2,100 DLH Required: 1. Compute departmental overhead rates using (a) machine hours to allocate budgeted Fabricating costs and (b) direct labor hours to allocate budgeted Assembly costs. 2. The company reports the following actual production usage data. Compute the overhead cost per unit for each model. Voltage 2.0 MH Machine hours per unit EasyRider 4.0 MH 0.5 DLH Direct labor hours per unit 1.8 DLH 3. The company reports additional information below. For each model, compute the product cost per unit. Per Unit Direct Materials Voltage EasyRider Selling Price $ 286 100 $.96 86 Direct Labor 5:47 21 4. For each model, compute gross profit per unit (selling price per unit minus product cost per unit). Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute departmental overhead rates using (a) machine hours to allocate budgeted Fabricating costs and (b) direct labor hours to allocate budgeted Assembly costs. Fabricating departmental overhead rate Assembly departmental overhead rate Sequired 1 Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 The company reports the following actual production usage data. Compute the overhead cost per unit for each model. (Round your "Hours per unit" amounts to decimal place and other answers to 2 decimal places.) Voltage EasyRider Department Departmental Overhead Rate Hours per Unit Overhead Allocated Hours per Unit Overhead Allocated Fabricating Assembly Totals Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 The company reports additional information below. For each model, compute the product cost per unit. (Round your answers to 2 decimal places.) Per Unit Direct Materials Direct Labor Overhead Product Cost per Unit Voltage EasyRider 4. For each model, compute gross profit per unit (selling price per unit minus product cost per unit). Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 For each model, compute gross profit per unit (selling price per unit minus product cost per unit). (Round your answers to 2 decimal places.) Per Unit Selling Price Product Cost Gross Profit Regime Voltage EasyRider

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started