10. Using the ABC system, how much total manufacturing overhead cost would be assigned to Product Z? (Round your intermediatecalculations to 2 decimal places. Round your answers to the nearest dollar amount.)Total manufacturing overhead cost !Required informationGreenwood Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Z. Thecompany 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 followingadditional information is available for the company as a whole and for Products Y and Z:EstimatedOverheadActivity Cost PoolMachiningMachine setupsProduction designGeneral factoryActivity MeasureMachine-hoursNumber of setupsNumber of productsDirect labor-hoursExpectedActivity10,еее мнs260 setupsCost$ 206, 000$ 145,6002$90,000$ 307, 2002 products12,000 DLHSActivity MeasureMachiningNumber of setupsProduct YProduct Z8,6001,40050210Number of productsDirect labor-hours118,6003,400

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Description: 10. Using the ABC system, how much total manufacturing overhead cost would be assigned to Product Z? (Round your intermediatecalculations to 2 decimal places. Round your answers to the nearest dollar amount.)Total manufacturing overhead cost !Requir

ABC Costing means a system of costing where by every cost is assigned to cost driver and then absorb…

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10. Using the ABC system, how much total manufacturing overhead cost would be assigned to Product Z? (Round your intermediate calculations to 2 decimal places. Round your answers to the nearest dollar amount.) Total manufacturing overhead cost

10. Using the ABC system, how much total manufacturing overhead cost would be assigned to Product Z? (Round your intermediate calculations to 2 decimal places. Round your answers to the nearest dollar amount.) Total manufacturing overhead cost

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Concept explainers

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.

Topic Video

Question

10. Using the ABC system, how much total manufacturing overhead cost would be assigned to Product Z? (Round your intermediate
calculations to 2 decimal places. Round your answers to the nearest dollar amount.)
Total manufacturing overhead cost

!
Required information
Greenwood Company manufactures two products-14,000 units of Product Y and 6,000 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
Machining
Machine setups
Production design
General factory
Activity Measure
Machine-hours
Number of setups
Number of products
Direct labor-hours
Expected
Activity
10,еее мнs
260 setups
Cost
$ 206, 000
$ 145,600
2$
90,000
$ 307, 200
2 products
12,000 DLHS
Activity Measure
Machining
Number of setups
Product Y
Product Z
8,600
1,400
50
210
Number of products
Direct labor-hours
1
1
8,600
3,400

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