EXERCISE 1 XYZ Company has identified the following overhead activities, costs, and activity drivers for the coming year: Activity Expected Cost Activity Driver Activity Capacity $45,000 80,000 15,000 30,000 50,000 Number of moves. Material-handling costs.. Machine costs. Order costs.. 450 Machine hours. 20,000 750 Receiving costs. Setup costs.. Number of orders. Number of parts.. Number of setups.. 50,000 250 Assume that each activity corresponds to a process. XYZ's normal activity is 5,000 direct labor hours. The following two jobs were completed during March: Job X-1 Job Y-4 Direct materials. Direct labor ($15 per hour). Units completed... Number of moves. $1,500 $750 $2,000 $750 200 200 3 Machine hours.. 125 75 Number of orders. Number of parts. Number of setups.. 3 12 200 800 1 4 Required: 1. Determine the unit cost for each job using direct labor hours to apply overhead.

EXERCISE 1 XYZ Company has identified the following overhead activities, costs, and activity drivers for the coming year: Activity Expected Cost Activity Driver Activity Capacity $45,000 80,000 15,000 30,000 50,000 Number of moves. Material-handling costs.. Machine costs. Order costs.. 450 Machine hours. 20,000 750 Receiving costs. Setup costs.. Number of orders. Number of parts.. Number of setups.. 50,000 250 Assume that each activity corresponds to a process. XYZ's normal activity is 5,000 direct labor hours. The following two jobs were completed during March: Job X-1 Job Y-4 Direct materials. Direct labor ($15 per hour). Units completed... Number of moves. $1,500 $750 $2,000 $750 200 200 3 Machine hours.. 125 75 Number of orders. Number of parts. Number of setups.. 3 12 200 800 1 4 Required: 1. Determine the unit cost for each job using direct labor hours to apply overhead.

Name: EXERCISE 1XYZ Company has identified the following overhead activitie
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Description: EXERCISE 1XYZ Company has identified the following overhead activities, costs, and activity drivers for thecoming year:ActivityExpected CostActivity DriverActivity Capacity$45,00080,00015,00030,00050,000Number of movesMaterial-handling costs..Machin

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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Q. 2 Índigo manufacturing has five activity cost pools and two products ( a budget tape vacuum and a deluxe tape vacuum). Information is presented below:
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