please Answer these questions part 1 Use the data below to compute and allocate Single Department Overhead Rate. There are two steps in this process. Use the 'Customer Totals' data to compute the overhead rate. Part 2: Use the data below to compute and allocate Activity Based Costing of overhead costs. There are two steps in this process. Use the activity totals to compute the overhead rate. Part 3: Not all customers generate profit. Using results from the ABC table, discuss tactics for professionally 'firing' the unprofitable customer. Indirect Costs Account Management Video Consults Testing & Training Technology Total Hours of Private Training Account Management Video Consults Testing & Training Technology Customer Totals Activity Base Hours of private training Hours of video consults Hours of private training Jack Mooney 45 3 45 93 Budgeted Factory Overhead $ 27,033.00 $ 19,540.00 $ 960.00 $ 47,533.00 Selwyn Patterson 25 35 25 85 J.P. Hooper Activity Totals 7 20 47 90 45 90 225
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
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