IV. Multiple Choiceİtems I through 10 ore based on the following information.Wonders Inc. manufactures radios in two different styles.Annual Salesin UnitsRadio Model10.000StarryPolka16,000Wonders uses a traditional volume-based costing system in applying factoryoverhead using direct labor pesos. The unit prime costs of each productwere as follows:StarryPolkaDirect materialsP38.00P25.40Direct labor:1.2 x P14.60=0.9 x P14.60-17.5213.14The predetermined overhead rate was 350% (P1.349,040 + 385,440).Direct labor budget per annual sales:Starry radioPolka radioTotalP175.200210.240P385,44010,000 x P17.5216,000 x P13.14Factory overhead:Engineering and DesignQuality ControlMachineryMiscellaneous OverheadTotalP 404,712269,808539,616134,904PL,349,040Wonders' controller had been rescarching activity-based costing and decidedto switch to it. A special study determined Wonders' two radio models wereresponsible for the following proportions of each cost driver:Engineering and DesignQuality ControlMachineryMiscellaneous OverheadStarry40%45%60%35%Polka60%55%40%65% 302Chapter 91.Starry model is calculated to be:P61.32.b.P43.42.P45.99.с.a.d.P65.43.sng traditional costing, applied factory overhead per unit for thePolka model is calculated to be:P61.32.b.2.P43.42.P45.99.a.с.P65.43.d.Using activity-based costing, applied factory overhead per unit for theStarry model, based on Engineering and Design, is calculated to be:3.P32.38.P16.19.a.с.b. P12.14.d.P 4.72.Using activity-based costing, applied factory overhead per unit for theStarry model, based on Quality Control, is calculated to be:P32.38.b.4.Activity-Based Costing and Management303a.C.P16.19.PI5.18.b.P12.14.d.P 4.72.a.P 5.48.P13.49.c.P 9.27.d.5.Using activity-based costing, applied factory overhead per unit for theStarry model, based on Machinery, is calculated to be:Р32.38.b.10.Using activity-based costing, applied factory overhead per unit for theStarry model, based on Miscellaneous Overhead, is calculated to be:P15.18.a.с.P16.19.P12.14.a.P 5.48.c.Using activity-based costing, applied factory overhead per unit for thed.P 4.72.P 9.27.6.b.d.P13.49.Starry model, based on Miscellaneous Overhead, is calculated to be:Items 11 through 14 are based on the following information.P32.38.P12.14. .a.с.P16.19.b.d.It has outlined the followingShine Co. manufactures laser printers.overhead cost drivers:P 4.72.7.Using activity-based costing, applied factory overhead per unit for theBudgetedLevel for CostDriverPolka model, based on Engineering and Design, is calculated to be:BudgetedOverheadOverheadP15.18.OverheadRateCost DriverInspectionsa.CostCost PoolQualitycontrolP 9.27.с.P 5.48.P13.49.b.d.P 64.8001,080P 608.Using activity-based costing, applied factory overhead per unit for thePolka model, based on Quality Control, is calculated to be:a.P15.18.b.P 9.27.Cc.P 5.48.P13.49,d.Using activity-based costing, applied factory overhead per unit for the9.Polka model, based on Machinery, is calculated to be:

Name: IV. Multiple Choiceİtems I through 10 ore based on the following info
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Description: IV. Multiple Choiceİtems I through 10 ore based on the following information.Wonders Inc. manufactures radios in two different styles.Annual Salesin UnitsRadio Model10.000StarryPolka16,000Wonders uses a traditional volume-based costing system in app

Answer 1) Under Traditional costing Option A is Correct Answer i.e. P 61.32. For the Starry model:…

Business

Accounting

Activity-Based Costing and IV. Multiple Choice Items I through 10 are based on the following information. Wonders Inc. manufactures radios in two different styles: Annual Sales in Units Radio Model Starry Polka 10,000 16,000 Wonders uses a traditional volume-based costing system in applying factory overhead using direct labor pesos. The unit prime costs of each product were as follows: Starry Polka P25.40 Direct materials Direct labor: 1.2 x P14.60= 0.9 x P14.60 P38.00 17.52 13.14 The predetermined overhead rate was 350% (P1.349,040 +385,440). Direct labor budget per annual sales: Starry radio Polka radio Total PI75,200 210.240 P385,440 10.000 x P17.52 16,000 x P13.14 Factory overhead: Engineering and Design Quality Control Machinery Miscellaneous Overhead Total P 404,712 269,808 539,616 134,904 PL,349,040 Wonders' controller had been resecarching activity-based costing and decided to switch to it. A special study determined Wonders' two radio models were responsible for the following proportions of each cost driver: Starry Polka 60% 55% 40% 65% Engineering and Design Quality Control Machinery Miscellaneous Overhead 40% 45% 60% 35%

Activity-Based Costing and IV. Multiple Choice Items I through 10 are based on the following information. Wonders Inc. manufactures radios in two different styles: Annual Sales in Units Radio Model Starry Polka 10,000 16,000 Wonders uses a traditional volume-based costing system in applying factory overhead using direct labor pesos. The unit prime costs of each product were as follows: Starry Polka P25.40 Direct materials Direct labor: 1.2 x P14.60= 0.9 x P14.60 P38.00 17.52 13.14 The predetermined overhead rate was 350% (P1.349,040 +385,440). Direct labor budget per annual sales: Starry radio Polka radio Total PI75,200 210.240 P385,440 10.000 x P17.52 16,000 x P13.14 Factory overhead: Engineering and Design Quality Control Machinery Miscellaneous Overhead Total P 404,712 269,808 539,616 134,904 PL,349,040 Wonders' controller had been resecarching activity-based costing and decided to switch to it. A special study determined Wonders' two radio models were responsible for the following proportions of each cost driver: Starry Polka 60% 55% 40% 65% Engineering and Design Quality Control Machinery Miscellaneous Overhead 40% 45% 60% 35%

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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