an activity-based cos Estimated Expected Activity Activity Measures Overhead Cost Activity Cost Pools Labor-related Machine setups Order size Product Z1 Product 28 Total DLHS $112,190 40,440 609,770 $762,400 2,000 700 3,200 2,600 1,200 6,200 600 setups MHs 500 3,000 ne activity rate for the Machine Setups activity cost pool under activity-based costing is closest to: Multiple Cholce
Q: Overhead costs: Equipment expense Indirect labor $96,000 $4,000 Distribution of Resource Consumption…
A: As per activity base costing overhead and indirect costs are allocated to product and services based…
Q: Activity Cost Pool Cost Driver Estimated Overhead Use per Product A Use per Product B Machine Setups…
A: given Activity Cost Pool Cost Driver Estimated Use per Use per Overhead Product A Product B…
Q: Sorice Corporation uses activity-based costing to assign overhead costs to products. Overhead costs…
A: The predetermined overhead rate is calculated as total estimated cost divided by estimated base…
Q: XYZ Co has an activity-based costing system with three activity cost pools-- Fixing, Cutting, and…
A: The activity rate for the department is computed by dividing the total cost of the department by the…
Q: Company X is considering switching to an activity-based costing system for computing unit product…
A: The predetermined overhead rate is calculated as estimated overhead cost divided by estimated base…
Q: Mirabile Corporation uses activity-based costing to compute product margins. Overhead costs have…
A: Answer : The activity rate for the Supervising activity cost pool under activity-based costing is…
Q: Privott, Inc., manufactures and sells two products: Product Z9 and Product N0. The company is…
A: In activity based costing, all overhead costs are assigned to activities on the basis of cost…
Q: Balestier Company has two products: A and B. The company uses activity-based costing. The total…
A: Activity Cost Pools Estimated Overhead(A) Expected Activity(B) Activity rate(A)/(B)…
Q: Angel Corporation uses activity-based costing to determine product costs for external financial…
A: In order to calculate the total overhead cost allocated to product X, First of all we need to…
Q: l Cost Driver Estimated Activity per Driver Estimated Overhead Material Material Requisitions 12,000…
A: predetermined overhead rate for Machine = Estimated overhead/ Estimated number of material…
Q: ABC Company uses activity-based costing to determine products costs for external financial reports.…
A: "Since you have asked multiple questions, we will solve first question for you. If you want any…
Q: Orear Corporation manufactures two products: Product Z34D and Product J25M. The company uses a…
A: Traditionally the overhead cost is allocated on the bases of plantwide overhead rates. The activity…
Q: Bewig, Inc., manufactures and sells two products: Product E8 and Product R4. The company has an…
A: Activity-Based Costing: Activity-Based Costing is a method of costing which is used to assign…
Q: Gourmet Master, Inc., uses activity-based costing to determine the cost of its stainless steel…
A: Under Activity Based costing, overhead costs or indirect costs are assigned to products on the basis…
Q: Product-Costing Accuracy, Consumption Ratios, Activity Rates, ActivityCostingTristar Manufacturing…
A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Wenck, Inc, maufactures and ses two products Product T8 and Product PA The company has an activity…
A: Given : Activity cost pools Activity measures Estimated overhead cost Product T8 Product P4…
Q: our Company has two products: A and B. The company uses activity-based costing. The estimated total…
A: Under Activity based costing system, cost is assigned to each activity based on their actual…
Q: Forner, Inc., manufactures and sells two products: Product Z1 and Product Z8. The company has an…
A: Under activity-based costing indirect overheads costs are allocated based on cost drivers consumed…
Q: Senff Corporation uses the following activity rates from its activity-based costing to assign…
A: Activity-Based Costing: Activity-based costing is a costing technique that distinguishes exercises…
Q: Vanvalkenburg, Inc., manufactures and sells two products: Product Q5 and Product JO, The company has…
A: Under activity-based costing, the activity rate is calculated differently from each activity.
Q: a. Determine the number of whole units to be accounted for and to be assigned costs and the…
A: a) Whole units = 31,200 + 1,500 =32,700 Equivalent units = 31,200 + (1,500 x 65%) =32,175
Q: Required information [The following information applies to the questions displayed below.] Delph…
A: Plantwide predetermined overhead rate = Total Overheads / Total Machine hours Fixed overheads =…
Q: Luther Manufacturing uses an activity-based cost system. The company produces Model 0 and Model J.…
A: The activity rate is calculated as estimated overhead cost for the activity divided by estimated…
Q: Strama, Inc., manufactures and sells two products: Product A6 and Product 15. The company has an…
A: Activity-based costing (ABC) is a method of managerial accounting that assigns overhead expenses to…
Q: Required information Gable Company uses three activity cost pools. Each pool has a cost driver.…
A: Activity Rate = Cost / Cost Driver
Q: es Corporation manufactures two products: Product O95C and Product M31N. The company uses a…
A: Solution: Under Activity based costing system, difference activities overhead cost are applied to…
Q: Ramsey SARL uses an activity based costing system to assign overhead costs to products. In the first…
A: Activity Based Costing System is a more realistic and practical approach or cost allocation to the…
Q: Senff Corporation uses the following activity rates from its activity-based costing to assign…
A: Overhead cost includes : Accounting cost Insurance cost Taxes Telephone bills Legal fees, etc.
Q: Levels of cost drivers. Each of the following is a potential activity driver. Identify the most…
A: UNIT LEVEL: Amount that occurs vary in direct proportionate to the unit produced. BATCH LEVEL: Cost…
Q: Angel Corporation uses activity-based costing to determine product costs for external financial…
A: First of all we will have to divide each activity estimated overhead by total activity pool.…
Q: Delight Business Ltd (DIB) manufactures two products, Product L11 and Product L12. The company is…
A: Activity Cost Pools Estimated Overhead(A) Expected Activity(B) Activity rate(A)/(B)…
Q: XYZ Company manufactures and distributes two products, M and XY. Overhead costs are currently…
A: Total overhead per unit is calculated by dividing the total overhead by the number of units.
Q: Mirabile Corporation uses activity-based costing to compute product margins. Overhead costs have…
A: Processing cost per MHs = Total processing cost / Total MHs = $3800 / 10000 = $0.38 per MHs…
Q: a. Determine an activity rate for each activity. Activity Rates Production Setup Procurement Quality…
A: Activity based costing has become widely used method for the allocation of overhead though its…
Q: Gould Corporation uses the following activity rates from its activity-based costing to assign…
A: Overhead cost assigned = Actual quantity used*Activity rate
Q: Anita Corporation Berhad uses the following activity rates from its activity-based costing to assign…
A: Activity-based costing (ABC) is a method of more activities and then assigns overhead expenditures…
Q: An activity based costing system is used at Haldeman, SA to assign products overhead costs. First,…
A: Activity-based costing is a costing approach in which a company's activities are identified and the…
Q: TCM Company uses activity-based costing to determine products costs for external financial reports.…
A: Here in this question, we are required to calculate activity rate for the general factory activity…
Q: Angel Corporation uses activity-based costing to determine product costs for external financial…
A: Introduction: Overhead is defined as continuing company costs that are not directly related to the…
Q: Allure Company manufactures and distributes two products, M and XY. Overhead costs are currently…
A: Overheads are considered as fixed and common expenses that should be allocated to the products based…
Q: Privott, Inc., manufactures and sells two products: Product 29 and Product NO. The company is…
A: The activity rate for labor is calculated by dividing the estimated cost by the expected activity.
Q: Reliability Co. makes two products. Regular and Supreme. Overhead costs of machining is $2.000.000…
A: Activity-based costing is a method of assigning indirect costs to products and services by…
Q: An activity based costing system is being considered at Evelia, nv to assign products overhead…
A:
Q: Computing and using activity-based costing overhead allocation rates Koehler (see Exercise E19-15…
A: Requirement-1 Working note:
Q: Forner, Inc., manufactures and sells two products: Product 21 and Product 28. The company has an…
A: Activity based costing is a costing method that assigns overhead and indirect costs to related…
Q: Title Brahtz Company uses an activity-based costing system. It has the following manufacturing…
A: The manufacturing cost of a product includes direct cost and indirect cost which are involved in the…
Q: as Activity-Based Costing Hakara Company has been using direct labor costs assigning overhead to its…
A: Working: Product A Product B Direct Material Cost 42,000 54,000 Direct Labor…
Q: Gould Corporation uses the following activity rates from its activity-based costing to assign…
A: Overhead cost assigned = Activity rate*Activity used
Q: Plantwide versus Department Direct Method. Bristol company uses the direct method in distributing…
A: Overheads are the indirect costs related to production or manufacturing of goods or things. base
Q: Which of the following measures is appropriate as a cost driver for machine set up activity costs?…
A: Solution: "Number of setups" is appropriate measure as a cost driver for machine set up activity…
Step by step
Solved in 2 steps
- Ayala Inc. has conducted the following analysis related to its product lines, using a traditional costing system (volume-based) and an activity-based costing system. Both the traditional and the activity-based costing systems include direct materials and direct labor costs. Products Product 540X Product 137Y Product 2495 Sales Revenue $208,000 155,000 92.000 Total Costs Traditional $54,000 48,000 23.000 ABC $49,000 30,000 46,000Vanvalkenburg, Inc., manufactures and sells two products: Product Q5 and Product JO. The company has an actvity-based costing system with the following activity cost pools, activity measures, and expected activity: Estimated Expected Activity Activity Overhead Activity Cost Pools Labor-related Measures Cost Product 05 Product J0 Total DLHS $191,748 70,536 295,592 3,000 300 4,300 2,800 5,800 Production orders Order size orders 500 800 MHs 4,500 8,800 $557,876 The activity rate for the Production Orders activity cost pool under activity-based costing is closest to: Multiple Cholce $63.40 per order S6874 per order S8817 per oroer 92 F AQI 61 pe here to search DELL 3.The Company has two products: X and Y. The company uses activity-based costing. Theestimated total cost and expected activity for each of the company's three activity cost pools areas follows: Estimated Expected Activity Activity Cost Pool Cost Product X Product Y Total Activity 101 £33,600 100 700 800 Activity 102 £44,000 200 800 1,000 Activity 103 £68,600 500 600 1,100 The activity rate under the activity-based costing system for Activity 103 is closest to: A. 62.36 B. 50.42 C. 114.34 D.132.90
- Roca, Incorporated, manufactures and sells two products: Product M6 and Product X7. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Estimated Overhead Cost Activity Cost Pools Labor-related Production orders Order size Multiple Choice O $360,294 O $443.424 O $369,879 Activity Measures DLHs orders MHS O $249,264 $ 152,100 63,035 505,452 $ 720,587 The total overhead applied to Product X7 under activity-based costing is closest to: (Round your Intermediate calculations to 2 decimal places.) Expected Activity Product M6 Product X7 3,000 400 4,800 300 3,700 3,600 saved Total 7,800 700 7,300Chrzan, Incorporated, manufactures and sells two products: Product EO and Product NO. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Product E0 Product Ne Total direct labor-hours Activity Cost Pools Labor-related Production orders Order size The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Estimated Overhead Cost Multiple Choice $33.94 per MH $54.20 per MH Direct Expected Labor-Hours Production Per Unit 10.1 410 1,550 9.1 $51.98 per MH $21.40 per MH Activity Measures DLHS orders MHs Total Direct Labor- Hours $ 301,890 61,087 585,366 $948,343 The activity rate for the Order Size activity cost pool under activity-based costing is closest to: 4,141 14, 105 18,246 Product E 4,141 850 5,550 Expected Activity Product NO 14, 105 950 5,250 Total 18,246 1,800 10,800Vanvalkenburg. Inc., manufactures and sells two products: Product GQ5 and Product JO. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Estimated Expected Activity Activity Overhead Activity Cost Pools Measures Cost Product Q5 Product JØ Total Labor-related DLHS $191,748 70,536 295,592 Production orders 3,000 2,800 5,800 orders 300 500 800 Order size MHs 4,300 4,500 8,800 $557,876 The activity rate for the Order Size activity cost pool under activity-based costing is closest to: Multiple Cholce $36.23 per MH $68.48 per MH $96.19 per MH
- Forner, Incorporated, manufactures and sells two products: Product 21 and Product Z8. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Activity Cost Pools Labor-related Machine setups Order size Multiple Choice Activity Measures DLHS setups MHS $7129 per MH Estimated Expected Activity Overhead Cost Product 21 Product 28 $ 109,600 51,690 808,470 $ 969,760 4,800 700 2,800 The activity rate for the Order Size activity cost pool under activity-based costing is closest to: 2,400 300 3,500 Total 7,200 1,000 6,300Jennifer Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows: Estimated Expected Activity Overhead Activity Cost Pools Product design Assembling Supporting customers Cost Product A Product B 400 Total $23,500 $18,000 $34,600 100 200 300 500 500 600 700 900 The activity rate under the activity-based costing sysam for Supporting customers is closest to: Multiple Cholce $36.24 $84.56 S115.33 Prev 1 of 10 Next > 2:0 92 F AQI 61 9/9 Type here to search DELLYKPBNO412 Corp., manufactures and sells two products: Product TOTEMO and Product SUGOI. YKPBNO412 has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: (ID#60553) Activity Cost Pools Labor-related Production orders Order size Multiple Choice O O $535,150 $914,020 $467,602 Activity Measures DLHS orders MHS $1,038,880 Estimated Overhead Cost $ 132,400 62,430 976,450 $1,171,280 (Baruch College Exam) Q) What is YKPBNO412's total overhead applied to Product SUGOI under activity-based costing? (choose the closest answer) (Round your intermediate calculations to 2 decimal places.) Product TOTEMO 1,800 1,000 3,700 Expected Activity Product SUGOI 900 600 3,400 Total 2,700 1,600 7,100 HE
- Privott, Inc., manufactures and sells two products: Product Z9 and Product N0. The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Estimated Expected Activity Activity Cost Pools Activity Measures Overhead Cost Product Z9 Product N0 Total Labor-related DLHs $ 327,018 6,700 3,300 10,000 Product testing tests 47,247 550 650 1,200 Order size MHs 472,608 4,300 4,600 8,900 $ 846,873 The activity rate for the Labor-Related activity cost pool under activity-based costing is closest to: Multiple Choice A. $72.69 per DLH B. $705.73 per DLH C. $85.90 per DLH D. $32.70 per DLHYour Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows: Estimated Expected Activity Activity Cost Pool Cost Product A Product B Total Machine related $17,600 700 300 1,000 MH Batch setup $32,600 600 200 800 Setups Other $52,500 900 500 1,400 DLH What is the activity rate under the activity-based costing system for Batch setups? Group of answer choices $54.33 $40.75 $40.75 per Setup $16.30 $16.30 per Setup $54.33 per SetupAyala Inc. has conducted the following analysis related to its product lines, using a traditional costing system (volume-based) and an activity-based costing system. Both the traditional and the activity-based costing systems include direct materials and direct labor costs. Total Costs Products Sales Revenue Traditional АВС Product 540X $ 202,000 $ 59,000 $ 45,900 Product 137Y 172,000 52,000 41,000 Product 2495 84,000 17,000 41,100 X Your answer is incorrect. For each product line, compute operating income using the traditional costing system. Product 540X S 143760 Product 137Y 109610 Product 2495 71900 eTextbook and Media Solution X Your answer is incorrect. For each product line, compute operating income using the activity-based costing system. Product 540X 24 152680 Product 137Y 119410 Product 2495 24 59180 %24 %24