Question
What is the activity rate for the general factory cost activity pool? Which of the four activites is a batch-level activity? A. Product design activity
What is the activity rate for the general factory cost activity pool?
Which of the four activites is a batch-level activity?
A. Product design activity
B. Machining activity
C. Machine setups activity
D. general factory activity
Which of the four activities is a product level activity?
A. Machining activity
B. Product design activity
C. General factory activity
D. Machine setups Activity
Using the ABC system, how much total manufacturing overhead cost would be assigned to product Y?
Using the ABC system, how much total manufacturing overhead cost would e assigned to Product Z?
Hickory Company manufactures two products-13,000 units of Product Y and 5,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Estimated Overhead Activity Cost Pool Machiningg Machine setups Production design General factory Activity Measure Expected Activity Cost 228,000 12,000 MHs Machine-hours $ 40,000 74,000 100 setups Number of setups Number of products Direct labor-hours 2 products $288,000 14,400 DLHs Activity Measure Product Y Product Z 0,000 2,000 60 Machine-hours Number of setups Number of products Direct labor-hours 40 7000 7,400
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