recent reporting period. Design department Client consultation Provicies Services for residential construction projects. The following data pertain to a Activities Costs 1,500 contact hours $285,000 Drawings 2,400 design hours 138,000 Modeling Supervision 53,000 square feet 37,100 Project management department 900 days $189,000 Billings Collections 12 jobs 12 jobs 8,200 23,120 Required: 1. & 2. Using ABC, compute the firm's activity overhead rates. Form activity cost pools where appropriate. Assign costs to a 8,200 square foot job that requires 440 contact hours, 358 design hours, and 170 days to complete. (Round activity rate answers to 2 decimal places.) Activity Expected Costs Expected Activity Driver Activity Rate Client consultation $ 285,000 1,500 Contact hours Drawings 138,000 2,400 Design hours Modeling Supervision Billings/Collection 37,100 53,000 Square feet $ 0.70 per square feet 189,000 900 Days $ 210.00 per day 8,200 12 Jobs $ 683.33 per job Activity Driver Overhead Incurred Assigned Total overhead cost
recent reporting period. Design department Client consultation Provicies Services for residential construction projects. The following data pertain to a Activities Costs 1,500 contact hours $285,000 Drawings 2,400 design hours 138,000 Modeling Supervision 53,000 square feet 37,100 Project management department 900 days $189,000 Billings Collections 12 jobs 12 jobs 8,200 23,120 Required: 1. & 2. Using ABC, compute the firm's activity overhead rates. Form activity cost pools where appropriate. Assign costs to a 8,200 square foot job that requires 440 contact hours, 358 design hours, and 170 days to complete. (Round activity rate answers to 2 decimal places.) Activity Expected Costs Expected Activity Driver Activity Rate Client consultation $ 285,000 1,500 Contact hours Drawings 138,000 2,400 Design hours Modeling Supervision Billings/Collection 37,100 53,000 Square feet $ 0.70 per square feet 189,000 900 Days $ 210.00 per day 8,200 12 Jobs $ 683.33 per job Activity Driver Overhead Incurred Assigned Total overhead cost
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:recent reporting period.
Design department
Client consultation
Provicies Services for residential construction projects. The following data pertain to a
Activities
Costs
1,500 contact hours
$285,000
Drawings
2,400 design hours
138,000
Modeling
Supervision
53,000 square feet
37,100
Project management department
900 days
$189,000
Billings
Collections
12 jobs
12 jobs
8,200
23,120
Required:
1. & 2. Using ABC, compute the firm's activity overhead rates. Form activity cost pools where appropriate. Assign costs to a 8,200
square foot job that requires 440 contact hours, 358 design hours, and 170 days to complete. (Round activity rate answers to 2 decimal
places.)
Activity
Expected Costs
Expected Activity Driver
Activity Rate
Client consultation
$
285,000
1,500 Contact hours
Drawings
138,000
2,400 Design hours
Modeling
Supervision
Billings/Collection
37,100
53,000 Square feet
$
0.70 per square feet
189,000
900 Days
$
210.00 per day
8,200
12 Jobs
$
683.33 per job
Activity Driver
Overhead
Incurred
Assigned
Total overhead cost
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