into Company sells two types of products: basic and deluxe. The company provides technical support for its products at budgeted overhead cost of $333,000 per year. The company allocates technical support cost based on 11,100 udgeted technical support calls per year. Compute the activity rate for technical support using activity-based costing. . During January, Qinto received 700 calls on its deluxe model and 150 calls on its basic model. Allocate technical upport costs to each model.
into Company sells two types of products: basic and deluxe. The company provides technical support for its products at budgeted overhead cost of $333,000 per year. The company allocates technical support cost based on 11,100 udgeted technical support calls per year. Compute the activity rate for technical support using activity-based costing. . During January, Qinto received 700 calls on its deluxe model and 150 calls on its basic model. Allocate technical upport costs to each model.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Subject: acounting
Transcribed Image Text:QS 17-18 (Algo) Allocating costs using ABC for a service company LO P4
Qinto Company sells two types of products: basic and deluxe. The company provides technical support for its products at
a budgeted overhead cost of $333,000 per year. The company allocates technical support cost based on 11,100
budgeted technical support calls per year.
1. Compute the activity rate for technical support using activity-based costing.
2. During January, Qinto received 700 calls on its deluxe model and 150 calls on its basic model. Allocate technical
support costs to each model.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Compute the activity rate for technical support using activity-based costing.
Technical support activity rate
Numerator
Denominator
< Required 1
| ||
Required 2 >
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