Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

yield the following detailed information: which customer ( s ) will be unhappy? How would you respond to these concerns? Under the simple - costing

yield the following detailed information:
which customer(s) will be unhappy? How would you respond to these concerns?
Under the simple-costing system,
was likely unhappy about their bill, because the contract appears to have been
. If the new department-based rates are used to price contracts,
| will likely be happier
about their bill.
If the new department-based rates are used to price contracts,
rates, their bills will be
will likely be unhappy. This is because their bills under the simple-costing system appear to have been
. Using the department-based
If the new department-based rates are used, AP should explain to the unhappy customers how the calculation was done, and point out their high use of
relative to
Requirement 4. How else might AP use the information available from its department-by-department analysis of manufacturing overhead costs? (Select all that apply.)
Other than for pricing, AP can also use the information from the department-based system
A. to examine and streamline its own operations so that there is maximum value-added from all indirect resources.
B. to reevaluate employee pay scales.
C. to provide incentives to professional staff.yield the following detailed information:
Requirement 1. Compute the manufacturing overhead allocated to each customer in 2020 using the simple costing system that uses machine-hours as the allocation base.
Determine the formula needed to calculate overhead using the simple costing method and then calculate AP's manufacturing overhead rate for 2020.(Round your answer to the nearest cent.)
Calculate the overhead allocated to each customer using the simple costing method. (Round your answers to the nearest whole dollar.)
Data table
Requirement 2. Compute the manufacturing overhead allocated to each customer in 2020 using department-based manufacturing overh
Determine the formula used to calculate the department-based manufacturing overhead rates:
AP's 2020 manufacturing overhead rates by department are as follows:
Manufacturing Overhead Rate
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

Accounting Tools for business decision making

Authors: kimmel, weygandt, kieso

4th Edition

978-0470117262, 9780470534786, 470117265, 470534788, 978-0470095461

More Books

Students also viewed these Accounting questions

Question

6. Send cards online, for free.

Answered: 1 week ago

Question

What are the determinants of cash cycle ? Explain

Answered: 1 week ago

Question

=+ At what rate does capital per person grow?

Answered: 1 week ago