Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Zwahlen Corporation has an activity-based costing system with three activity cost pools--Processing, Setting Up, and Other Costs in the Processing cost pool are assigned to

image text in transcribed
image text in transcribed
image text in transcribed
Zwahlen Corporation has an activity-based costing system with three activity cost pools--Processing, Setting Up, and Other Costs in the Processing cost pool are assigned to products based on machine-hours (MHs) and costs in the Setting Up cost pool are assigned to products based on the number of batches. Costs in the Other cost pool are not assigned to products. Data concerning the two products and the company's costs and activity-based costing system appear below: Activity Cost Pools Processing Setting up Other 557,800 $15.700 $29,500 Batches Product 07 Producte 700 HS 9,809 13.000 22.00 Total 1.300 2.000 Direct materials (total) Direct laor (total) Product D7 Product He 5220,300 $306,100 $ 73,600 $ 146,200 $196,500 5 97,200 Required: Calculate activity rates for each activity cost pool using activity-based costing Determine the amount of overhead cost that would be assigned to each product using activity-based costing. Determine the product margins for each product using activity-based costing. Complete this question by entering your answers in the tabs below. Required 8 Required Calculate activity rates for each activity cost pool using activity-based costing. (Round your answers to 2 decimal places.) c ay Cost Pools Activity Rate por batch Juul answers in the tabs below. Required Required B Required Determine the amount of overhead cost that would be assigned to each product using activity-based costing. (Round intermediate calculations to 2 decimal places.) Overhead Cost Produd DT ProduHO complete this question by entering your answers in the tabs below. Required A Required B Required C Determine the product margins for each product using activity-based costing. (Round intermediate calculations to 2 decima places.) Product Margin Product D7 Produd HO

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

Auditing Theory And Practice

Authors: C. William Thomas, Bart Ward, Emerson Henke

3rd Edition

0534920748, 978-0534920746

More Books

Students also viewed these Accounting questions