Benton Corporation manufactures computer microphones, which come in two models: Standard and Premium. Data for arepresentative quarter for the two models follow:Units producedProduction runs per quarterDirect materials cost per unitDirect labor cost per unitSupervisionSetup laborIncoming inspectionTotal overheadManufacturing overhead in the plant has three main functions: supervision, setup labor, and incoming material inspection.Data on manufacturing overhead for a representative quarter follow:Standard14,00050$ 3050$ 288,750336,000241,500$ 866,250Premium3,50025$ 6475a. Using current costing systemb. Using proposed ABC systemExercise 9-35 (algo) Activity-Based Costing (LO 9-4)Required:a. Compute the unit costs for the two products, Standard and Premium, using the current costing system at Benton (using direct labcosts as the allocation basis for overhead).b. Compute the unit costs for the two products, Standard and Premium, using the proposed ABC system at Benton.Note: For all requirements, do not round intermediate calculations.ound your answers to 2 decimal places.Unit costStandardPremium

Name: Benton Corporation manufactures computer microphones, which come in t
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Description: Benton Corporation manufactures computer microphones, which come in two models: Standard and Premium. Data for arepresentative quarter for the two models follow:Units producedProduction runs per quarterDirect materials cost per unitDirect labor cost

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nits produced roduction runs per quarter irect materials cost per unit irect labor cost per unit Supervision Cetup labor Incoming inspection Total overhead Standard 14,000 50 $ 30 50 nufacturing overhead in the plant has three main functions: supervision, setup labc ta on manufacturing overhead for a representative quarter follow: $ 288,750 336,000 241,500 $ 866,250 Premium 3,500 25 $ 64 75

nits produced roduction runs per quarter irect materials cost per unit irect labor cost per unit Supervision Cetup labor Incoming inspection Total overhead Standard 14,000 50 $ 30 50 nufacturing overhead in the plant has three main functions: supervision, setup labc ta on manufacturing overhead for a representative quarter follow: $ 288,750 336,000 241,500 $ 866,250 Premium 3,500 25 $ 64 75

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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ABC LTD produces a single product which undergoes three processes. Thefollowing details relate to one period:ProcessI II III$ $ $Raw Materials (60,000 units) 80,000Materials Introduced 23,500 18,750 22,100Direct Wages 15,600 12,000 13,400Overheads allotted to Processes 3,800 4,600 3,200Other overheads total $27,000Units Units UnitsOutput in units 55,200 53,800 49,600A normal loss of 5% of the input to each process is anticipated.Units lost have the following scrap values:After process I NilAfter process II $1After process III $1.80There was no opening or closing WIP.Prepare ledger accounts for the period.
pok sk int ences = aw 11 Rand Company computed the following activity rates using activity-based costing. Activity Setup Materials handling Inspection $ 60 per materials requisition $3 per unit inspected The company's deluxe model used the following activities to produce 1,000 units. Activity Setup Materials handling Inspection Actual Activity Usage 2 setups 24 materials requisitions 1,000 units inspected Compute the overhead cost per unit for the deluxe model using activity-based costing. Activity Setup Materials handling Inspection Total allocated cost Units produced Overhead cost per unit # 2 3 * $ 10 $ 1,040 per setup 4 Activity Rate % 5 Activity Usage 6 Q Search 17 C- & DA 441
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MC Qu. 5-49 Skyline Florists uses an activity-based... Skyline Florists uses an activity-based costing system to compute the cost of making floral bouquets and delivering the bouquets to its commercial customers. Company personnel who earn $170,000 typically perform both tasks; other firm-wide overhead is expected to total $80,000. These costs are allocated as follows: Bouquet Production Delivery Other Wages and salaries 60 % 30 % 10 % Other overhead 60 % 20 % 20 % Skyline anticipates making 20,000 bouquets and 3,000 deliveries in the upcoming year. The cost of wages and salaries and other overhead that would be charged to each delivery is closest to: Multiple Choice $22.33. $23.01. $29.45. $43.33. None of the answers is correct. I got $7.50 and I am not sure if that is correct
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