Activity Cost PoolActivity MeasureAssembling unitsProcessing ordersSupporting customersNumber of unitsNumber of ordersNumber of customersNot applicableOtherCosts assigned to the "Other" activity cost pool have no activity measure; they consist of the costsof unused capacity and organization-sustaining costs-neither of which are assigned to orders,customers, or the product.Ferris Corporation distributes the costs of manufacturing overhead and of selling and admin-istrative overhead to the activity cost pools based on employee interviews, the results of which arereported below:Distribution of Resource Consumption Across Activity Cost PoolsAssembling ProcessingUnitsSupportingOrdersCustomersOtherTotal35%Manufacturing overheadSelling and administrative%001overhead25%%07%001%0L000units250ordersTotal activity.customersRequired:Perform the first-stage allocation of overhead costs to the activity cost pools as in Exhibit 8 5.1.Compute activity rates for the activity cost pools as in Exhibit 8 6.2.OfficeMart is one of Ferris Corporation s customers. LastyOffice Mart ordered filing cab-3.inets four different times. OfficeMart ordered a total of 80 filing cabinets during the yearConstruct a table as in Exhibit 8 9 showing the overhead costs attrabulable to OficeMart.The selling price of a filing cabinet is S595. The cost of direct nmaterials is S180 per filing4.cabinet, and direct labor is $50 per filing cabinet. What is the customer margino OfficeMart?See Exhibit 8-I1 for an example of how to complete this tepot pnoje peay V IMEJA AHighlightQ EraseFerris Corporation makes a single product-a fire-resistant commercial filing cabinet-that it sellsto office furniture distributors. The company has a simple ABC system that it uses for intemaldecision making. The company has two overhead departments whose costs are listed on the follow-aded SutActivity Based Costing: A Tool to Aid Decision Making335Manufacturing overheadSelling and administrative overhead000'00s$000'00€Total overhead costs000'008$The companyS ABC systenm has the following activity cost pools and activity measures:Activity Cost PoolActivity MeasureAssembling unitsProcessing ordersSupporting customersNumber of unitsNumber of ordersNumber of customersOtherNot applicableCosts assigned to the "Other" activity cost pool have no activity measure; they consist of the costsof unused capacity and organization-sustaining costsneither of which are assigned to orders,customers, or the product.Ferris Corporation distributes the costs of manufacturng overfhend and of selling and admin-istrative overhead to the activity cost pools based on employee interviews, the results of which arereported below

Name: Activity Cost PoolActivity MeasureAssembling unitsProcessing ordersSu
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: Activity Cost PoolActivity MeasureAssembling unitsProcessing ordersSupporting customersNumber of unitsNumber of ordersNumber of customersNot applicableOtherCosts assigned to the "Other" activity cost pool have no activity measure; they consist of th