Current Attempt in Progress Coats Galore Inc. uses activity-based costing as the basis for information to set prices for its six lines of seasonal coats. Calculate the activity-based overhead rates using the following budgeted data for each of the activity cost pools. (Round answers to 2 decimal places, eg. 15.25) Activity Cost Pools Sizing and cutting Stitching and trimming Wrapping and packing Cost Pool Sizing and cutting Estimated Overhead $4,000,000 1,440,000 336,000 Stitching and trimming $ Wrapping and packing Estimated Use of Cost Drivers per Activity 160,000 machine hours 80,000 labour hours 32,000 finished units Rate per machine hr. per labour hr per unit.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Current Attempt in Progress
Coats Galore Inc. uses activity-based costing as the basis for information to set prices for its six lines of seasonal coats. Calculate the
activity-based overhead rates using the following budgeted data for each of the activity cost pools. (Round answers to 2 decimal places,
eg. 15.25)
Activity Cost Pools
Sizing and cutting
Stitching and trimming
Wrapping and packing
Cost Pool
Sizing and cutting
Estimated
Overhead
$4,000,000
1,440,000
Stitching and trimming $
Wrapping and packing
336,000
Estimated Use of Cost
Drivers per Activity
160,000 machine hours
80,000 labour hours
32,000 finished units
Rate
per machine hr.
per labour hr
per unit.
Transcribed Image Text:Current Attempt in Progress Coats Galore Inc. uses activity-based costing as the basis for information to set prices for its six lines of seasonal coats. Calculate the activity-based overhead rates using the following budgeted data for each of the activity cost pools. (Round answers to 2 decimal places, eg. 15.25) Activity Cost Pools Sizing and cutting Stitching and trimming Wrapping and packing Cost Pool Sizing and cutting Estimated Overhead $4,000,000 1,440,000 Stitching and trimming $ Wrapping and packing 336,000 Estimated Use of Cost Drivers per Activity 160,000 machine hours 80,000 labour hours 32,000 finished units Rate per machine hr. per labour hr per unit.
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