Hickory Company manufactures two products-15,000 units of Product Y and 7,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all $696,000 of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Activity Cost Pool Machining Machine setups Product design General factory Activity Measure Machine-hours Number of setups Number of products Direct labor-hours. Activity Measure Machine-hours. Number of setups Number of products Direct labor-hours. Product Y 7,400 60 1 8,400 Estimated Overhead Product Z 3,600 180 1 4,800 Cost $ 224,400 $ 129,600 $ 88,000 $ 254,000 Expected Activity 11,000 MHS 240 setups 2 products 13,200 DLHS 15. Using the ABC system, what percentage of the General Factory cost is assigned to Product Y and Product Z? (Round your "Percentage" answers to 2 decimal place.)

Hickory Company manufactures two products-15,000 units of Product Y and 7,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all $696,000 of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Activity Cost Pool Machining Machine setups Product design General factory Activity Measure Machine-hours Number of setups Number of products Direct labor-hours. Activity Measure Machine-hours. Number of setups Number of products Direct labor-hours. Product Y 7,400 60 1 8,400 Estimated Overhead Product Z 3,600 180 1 4,800 Cost $ 224,400 $ 129,600 $ 88,000 $ 254,000 Expected Activity 11,000 MHS 240 setups 2 products 13,200 DLHS 15. Using the ABC system, what percentage of the General Factory cost is assigned to Product Y and Product Z? (Round your "Percentage" answers to 2 decimal place.)

Name: Hickory Company manufactures two products-15,000 units of Product Y a
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Description: Hickory Company manufactures two products-15,000 units of Product Y and 7,000 units of Product Z. The company usesa plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC)system that alloca

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 11E: Lonsdale Inc. manufactures entry and dining room lighting fixtures. Five activities are used in...

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