Tristar Manufacturing produces two types of battery-operated toy soldiers: infantry and special forces. The soldiers are produced by using one continuous process. Four activities have been identified: machining, setups, receiving, and packing. Resource drivers have been used to assign costs to each activity. The overhead activities, their costs, and the other related data are as follows:

	Required:
1.	Calculate the total overhead assigned to each product by using only machine hours to calculate a plantwide rate. (Round overhead rate answer to two decimal places and other answers to the nearest dollar.)
2.	Calculate consumption ratios for each activity. (Round to two decimal places.)
3.	Calculate a rate for each activity by using the associated driver. (Round to two decimal places.)
4.	Assign the overhead costs to each product by using the activity rates computed in Requirement 3.
5.	CONCEPTUAL CONNECTION: Comment on the difference between the assignment in Requirement 1 and the activity-based assignment.

Product	Machine Hours	Setups	Receiving Orders	Packing Orders
Infantry	19,000	330	810	1,680
Special Forces	19,000	110	90	840
Costs	$68,400	$26,664	$16,020	$30,744

Product-Costing Accuracy, Consumption Ratios, Activity Rates, Activity Costing Instructions Total Overhead & Consumption Ratios Activity Rate & Overhead Costs Conceptual Connection Total Overhead & Consumption Ratios X 1. Calculate the total overhead assigned to each product by using only machine hours to calculate a plantwide rate. (Round overhead rate answer to two decimal places and other answers to the nearest dollar.) The overhead rate is $ per machine hour. The total overhead assigned to the infantry product is $ The total overhead assigned to the Special Forces product is $ 2. Calculate consumption ratios for each activity. (Round your answers to two decimal places.) Consumption Ratios Overhead Activity Infantry Special Forces Machining Setups Receiving PackingProduct-Costing Accuracy, Consumption Ratios, Activity Rates, Activity Costing Instructions Total Overhead & Consumption Ratios Activity Rate & Overhead Costs Conceptual Connection Activity Rate & Overhead Costs X 3. Calculate a rate for each activity by using the associated driver. Machining: per machine hour Setups: per setup Receiving: per receiving order Packing: $ per packing order 4. Assign the overhead costs to each product by using the activity rates computed in Requirement 3. Tristar Manufacturing Overhead Assignment Infantry Special Forces 2 Machining 3 4 Receiving 5 6 TotalProduct-Costing Accuracy, Consumption Ratios, Activity Rates, Activity Costing Instructions Total Overhead & Consumption Ratios Activity Rate & Overhead Costs Conceptual Connection Conceptual Connection X 5. CONCEPTUAL CONNECTION: Complete the statements below on the difference between the assignment calculated in Requirement 1 and the activity-based assignment. Using only machine hours the infantry product and the special forces product. The reveal this before the actual calculations are made. Check My Work 1 more Check My Work uses remaining. Previous Next