Activity rates and product costs using activity-based costIdris Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgetedactivity costs and activity bases are as follows:ActivityCastingAssemblyInspectingBudgetedActivity Cost$214,820149,10022,33042,00040,500Activity BaseMachine hoursDirect labor hoursNumber of inspectionsNumber of setupsNumber of loadsUnits producedSetupMaterials handlingCorporate records were obtained to estimate the amount of activity to be used by the two products. The estimated activity-base usage quantities and units producedfollow:Entry4,9504,2601,540Activity BaseMachine hoursDirect labpr hoursNumber of inspectionsNumber of setupsNumber of loads230Dining Total4,3909,3406,39010,6504902,030280900501907109,800a. Determine the activity rate for each activity. If required, round the rate to the nearest dollar.4,90014,700

Name: Activity rates and product costs using activity-based costIdris Inc.
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Description: Activity rates and product costs using activity-based costIdris Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgetedactivity costs and activ

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Activity rates and product costs using activity-based cost Idris Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows: Activity Casting Assembly Inspecting Budgeted Activity Cost $214,820 149,100 22,330 42,000 40,500 Activity Base Machine hours Direct labpr hours Number of inspections Number of setups Number of loads Setup Materials handling Corporate records were obtained to estimate the amount of activity to be used by the two products. The estimated activity-base usage quantities and units produced follow: Activity Base Machine hours Direct labor hours Number of inspections Number of setups 50 Number of loads 710 190 Units produced 9,800 4,900 a. Determine the activity rate for each activity. If required, round the rate to the nearest dollar. Entry Dining Total 4,950 4,390 9,340 4,260 6,390 10,650 1,540 490 2,030 230 280 900 14,700

Activity rates and product costs using activity-based cost Idris Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows: Activity Casting Assembly Inspecting Budgeted Activity Cost $214,820 149,100 22,330 42,000 40,500 Activity Base Machine hours Direct labpr hours Number of inspections Number of setups Number of loads Setup Materials handling Corporate records were obtained to estimate the amount of activity to be used by the two products. The estimated activity-base usage quantities and units produced follow: Activity Base Machine hours Direct labor hours Number of inspections Number of setups 50 Number of loads 710 190 Units produced 9,800 4,900 a. Determine the activity rate for each activity. If required, round the rate to the nearest dollar. Entry Dining Total 4,950 4,390 9,340 4,260 6,390 10,650 1,540 490 2,030 230 280 900 14,700

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Chapter1: Financial Statements And Business Decisions

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