Groleau Corporation has an activity-based costing system with three activity cost pools-Processing, Setting Up, and Other. The company's overhead costs, which consist of factory utilities and indirect labor, are allocated to the cost pools in proportion to the activity cost pools' consumption of resources. Costs in the Processing cost pool are assigned to products based on machine-hours (MHS) and costs in the Setting Up cost pool are assigned to products based on the number of batches. Costs in the Other cost pool are not assigned to products. Data concerning the two products and the company's costs and activity-based costing system appear below: Factory utilities (total) Indirect labor (total) Distribution of Resource Consumption Across Activity Cost Pools Factory utilities Indirect labor Product 58 Product F1 Total Sales (total) Direct materials (total) Direct labor (total) Factory utilities Indirect labor Total Processing 0.50 0.30 $ MHS 2,900 7,600 10,500 Batches 1,600 600 2,200 $32,300 $14,100 Product 58 $72,250 $25,400 $30,000 0 $ Assign overhead costs to activity cost pools using activity-based costing. Activity Cost Pools Processing Setting Up Setting Up 0.30 0.30 Activity Rate per MH per batch 0 $ Other 0.20 0.40 Product F1 $ 99,250 $ 38,700 $ 40,700 Other $ $ 0 S Total Calculate activity rates for each activity cost pool using activity-based costing. (Round your answers to 2 decimal places.) Activity Cost Pools Processing Setting up 0 0 0
Groleau Corporation has an activity-based costing system with three activity cost pools-Processing, Setting Up, and Other. The company's overhead costs, which consist of factory utilities and indirect labor, are allocated to the cost pools in proportion to the activity cost pools' consumption of resources. Costs in the Processing cost pool are assigned to products based on machine-hours (MHS) and costs in the Setting Up cost pool are assigned to products based on the number of batches. Costs in the Other cost pool are not assigned to products. Data concerning the two products and the company's costs and activity-based costing system appear below: Factory utilities (total) Indirect labor (total) Distribution of Resource Consumption Across Activity Cost Pools Factory utilities Indirect labor Product 58 Product F1 Total Sales (total) Direct materials (total) Direct labor (total) Factory utilities Indirect labor Total Processing 0.50 0.30 $ MHS 2,900 7,600 10,500 Batches 1,600 600 2,200 $32,300 $14,100 Product 58 $72,250 $25,400 $30,000 0 $ Assign overhead costs to activity cost pools using activity-based costing. Activity Cost Pools Processing Setting Up Setting Up 0.30 0.30 Activity Rate per MH per batch 0 $ Other 0.20 0.40 Product F1 $ 99,250 $ 38,700 $ 40,700 Other $ $ 0 S Total Calculate activity rates for each activity cost pool using activity-based costing. (Round your answers to 2 decimal places.) Activity Cost Pools Processing Setting up 0 0 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please help me with show all calculation thanku
Transcribed Image Text:Groleau Corporation has an activity-based costing system with three activity cost pools-Processing, Setting Up, and Other. The
company's overhead costs, which consist of factory utilities and indirect labor, are allocated to the cost pools in proportion to the
activity cost pools' consumption of resources. Costs in the Processing cost pool are assigned to products based on machine-hours
(MHS) and costs in the Setting Up cost pool are assigned to products based on the number of batches. Costs in the Other cost pool
are not assigned to products. Data concerning the two products and the company's costs and activity-based costing system appear
below:
Factory utilities (total)
Indirect labor (total)
Distribution of Resource Consumption Across Activity Cost Pools
Factory utilities
Indirect labor
Product 58
Product F1
Total
Sales (total)
Direct materials (total)
Direct labor (total)
Factory utilities
Indirect labor
Total
Processing
0.50
0.30
$
MHS
2,900
7,600
10,500
Batches
1,600
600
2,200
$32,300
$14,100
Product 58
$72,250
$25,400
$30,000
0 $
Assign overhead costs to activity cost pools using activity-based costing.
Activity Cost Pools
Processing Setting Up
Setting Up
0.30
0.30
Activity Rate
per MH
per batch
0 $
Other
0.20
0.40
Product F1
$ 99,250
$ 38,700
$ 40,700
Other
$
$
0 S
Total
Calculate activity rates for each activity cost pool using activity-based costing. (Round your answers to 2 decimal places.)
Activity Cost Pools
Processing
Setting up
0
0
0
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 4 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education