2. Assume that OfficeMart places orders more frequently, but everything else remains the same. On your worksheet increase the number of orders from 4 to 8. (Prior to completing this requirement, change all worksheet figures back to their original amounts.) A 1 Chapter 5: Applying Excel 2 3 4 Manufacturing overhead 5 Selling and administrative overhead 6 7 8 D00 9 10 11 12 13 14 456789 15 16 17 18 Data 19 Manufacturing overhead Selling and administrative overhead Total activity OfficeMart orders: Customers Orders Number of filing cabinets ordered in total Selling price Direct materials Direct labor B $ 500,000 $ 300,000 Assembling Units 555 50% 10% 1,000 units с Processing Orders 1 customer 8 orders 80 units 595 180 50 35% 45% 250 orders D Supporting Customers 5% 25% 100 customers E Other 10% 20%

Accounting Information Systems
11th Edition
ISBN:9781337552127
Author:Ulric J. Gelinas, Richard B. Dull, Patrick Wheeler, Mary Callahan Hill
Publisher:Ulric J. Gelinas, Richard B. Dull, Patrick Wheeler, Mary Callahan Hill
Chapter6: Relational Database And Sql
Section: Chapter Questions
Problem 2P
icon
Related questions
Question
(b) What is the product margin under the traditional costing system when the number of orders increases to 8? (Enter a loss as a
negative amount.)
Product margin under the traditional costing system
(c) Which of the following statements are true? (You may select more than one answer. Single click the box with the question mark
to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong
answer. Any boxes left with a question mark will be automatically graded as incorrect.)
7 If a customer orders more frequently, but orders the same total number of units over the course of a year, the customer margin under
activity based costing will decrease
7
If a customer orders more frequently, but orders the same total number of units over the course of a year, the product margin under a
traditional costing system will decrease.
7
7
If a customer orders more frequently, but
orders the same total number of units over the course of a year, the customer margin under
activity based costing will be unaffected.
If a customer orders more frequently, but orders the same total number of units over the course of a year, the product margin under a
traditional costing system will be unaffected.
Transcribed Image Text:(b) What is the product margin under the traditional costing system when the number of orders increases to 8? (Enter a loss as a negative amount.) Product margin under the traditional costing system (c) Which of the following statements are true? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) 7 If a customer orders more frequently, but orders the same total number of units over the course of a year, the customer margin under activity based costing will decrease 7 If a customer orders more frequently, but orders the same total number of units over the course of a year, the product margin under a traditional costing system will decrease. 7 7 If a customer orders more frequently, but orders the same total number of units over the course of a year, the customer margin under activity based costing will be unaffected. If a customer orders more frequently, but orders the same total number of units over the course of a year, the product margin under a traditional costing system will be unaffected.
2. Assume that OfficeMart places orders more frequently, but everything else remains the same. On your worksheet increase the
number of orders from 4 to 8. (Prior to completing this requirement, change all worksheet figures back to their original amounts.)
A
1 Chapter 5: Applying Excel
2
3
4
5
6
7
Data
12
13
14.
15
16
17
18
19
Manufacturing overhead
Selling and administrative overhead
8 Manufacturing overhead
9
10
11
Selling and administrative overhead
Total activity
OfficeMart orders:
Customers
Orders
Number of filing cabinets ordered in total
Selling price
Direct materials
Direct labor
Customer margin under activity-based costing
B
$ 500,000
$ 300,000
Assembling
Units
$
$
$
50%
10%
1,000
units
1 customer
8 orders
80 units
595
с
Processing
Orders
180
50
35%
45%
250
orders
D
Supporting
Customers
5%
25%
100
customers
E
Other
10%
20%
(a) What is the customer margin under activity-based costing when the number of orders increases to 8? (Enter a loss as a negative
amount.)
Transcribed Image Text:2. Assume that OfficeMart places orders more frequently, but everything else remains the same. On your worksheet increase the number of orders from 4 to 8. (Prior to completing this requirement, change all worksheet figures back to their original amounts.) A 1 Chapter 5: Applying Excel 2 3 4 5 6 7 Data 12 13 14. 15 16 17 18 19 Manufacturing overhead Selling and administrative overhead 8 Manufacturing overhead 9 10 11 Selling and administrative overhead Total activity OfficeMart orders: Customers Orders Number of filing cabinets ordered in total Selling price Direct materials Direct labor Customer margin under activity-based costing B $ 500,000 $ 300,000 Assembling Units $ $ $ 50% 10% 1,000 units 1 customer 8 orders 80 units 595 с Processing Orders 180 50 35% 45% 250 orders D Supporting Customers 5% 25% 100 customers E Other 10% 20% (a) What is the customer margin under activity-based costing when the number of orders increases to 8? (Enter a loss as a negative amount.)
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 6 steps with 6 images

Blurred answer
Knowledge Booster
Ethical Decision Making
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Accounting Information Systems
Accounting Information Systems
Finance
ISBN:
9781337552127
Author:
Ulric J. Gelinas, Richard B. Dull, Patrick Wheeler, Mary Callahan Hill
Publisher:
Cengage Learning
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning