Required information 1. Compute an activity rate for each activity using activity-based costing. 2. The following actual activity usage produced 10,000 Pup tents and 6,000 Pop-up tents. Allocate overhead cost to Pup tents and to Pop-up tents and compute overhead cost per unit for each product. Activity Cost Driver Direct labor hours (DLH) Machine hours (MH) Purchase orders (PO) Required 1 Required 2 Activity Usage Pup tents. 30,000 4,000 150 3. Compute product cost per unit for Pup tents and for Pop-up tents. 4. For each product, compute the gross profit per unit (selling price per unit minus the product cost per unit). Complete this question by entering your answers in the tabs below. Assembly Electricity Materials purchasing Required 3 Pop-up tents 12,000 6,000 250 Compute an activity rate for each activity using activity-based costing. (Round "Activity Rate" to 2 decimal places.) Budgeted Activity Usage Activity Rate Budgeted Cost Required 4 < Required 1 Required 2 >
Required information 1. Compute an activity rate for each activity using activity-based costing. 2. The following actual activity usage produced 10,000 Pup tents and 6,000 Pop-up tents. Allocate overhead cost to Pup tents and to Pop-up tents and compute overhead cost per unit for each product. Activity Cost Driver Direct labor hours (DLH) Machine hours (MH) Purchase orders (PO) Required 1 Required 2 Activity Usage Pup tents. 30,000 4,000 150 3. Compute product cost per unit for Pup tents and for Pop-up tents. 4. For each product, compute the gross profit per unit (selling price per unit minus the product cost per unit). Complete this question by entering your answers in the tabs below. Assembly Electricity Materials purchasing Required 3 Pop-up tents 12,000 6,000 250 Compute an activity rate for each activity using activity-based costing. (Round "Activity Rate" to 2 decimal places.) Budgeted Activity Usage Activity Rate Budgeted Cost Required 4 < Required 1 Required 2 >
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
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.
Topic Video
Question
How do I fill out the chart?
Transcribed Image Text:Required information
1. Compute an activity rate for each activity using activity-based costing.
2. The following actual activity usage produced 10,000 Pup tents and 6,000 Pop-up tents. Allocate overhead cost to Pup tents and to
Pop-up tents and compute overhead cost per unit for each product.
Activity Cost Driver
Direct labor hours (DLH)
Machine hours (MH)
Purchase orders (PO)
2
Required 1 Required 2
3. Compute product cost per unit for Pup tents and for Pop-up tents.
4. For each product, compute the gross profit per unit (selling price per unit minus the product cost per unit).
Assembly
Electricity
Materials purchasing
Complete this question by entering your answers in the tabs below.
F2
W
#
3
Pup tents
30,000
4,000
150
Compute an activity rate for each activity using activity-based costing. (Round "Activity Rate" to 2 decimal places.)
Budgeted Activity Usage
80
F3
E
Activity Usage
Required 3
Budgeted Cost
4
Pop-up tents
Required 4
12,000
6,000
250
a
F4
R
< Required 1
%
5
F5
Required 2 >
Prev
6
F6
1 of 1
TY
&
7
Activity Rate
Next
F7
U
*
8
DII
F8
I
(
9
F
![Problem Video X
Assignment
ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fbb.johnstoncc.edu%252Fv
ces
!
2
Question 1- Ch. 17 Assignmen X
Required information
[The following information applies to the questions displayed below.]
Activity
Assembly
Tent Master produces Pup tents and Pop-up tents. The company budgets $252,000 of overhead cost and 42,000 direct
labor hours. Additional information follows.
Per Unit
Pup tent
Pop-up tent
Electricity
Materials purchasing
Total
Selling Price
$ 78
73
Activity Cost Driver
Direct labor hours (DLH)
Machine hours (MH)
Purchase orders (PO)
F2
Budgeted Cost
$ 168,000
24,000
60,000
$ 252,000
# 3
(1) PR17 3B Practice Video - Yox +
Direct Materials
80
F3
$ 20
25
Required:
1. Compute an activity rate for each activity using activity-based costing.
2. The following actual activity usage produced 10,000 Pup tents and 6,000 Pop-up tents. Allocate overhead cost to Pup tents and to
Pop-up tents and compute overhead cost per unit for each product.
Activity Usage
Pup tents
30,000
4,000
150
Required 1 Required 2 Required 3 Required 4
$
4
Activity Cost Driver
Direct labor hours (DLH)
Machine hours (MH)
Purchase orders (PO)
Complete this question by entering your answers in the tabs below.
F4
Direct Labor
$ 45
30
Pop-up tents
3. Compute product cost per unit for Pup tents and for Pop-up tents.
4. For each product, compute the gross profit per unit (selling price per unit minus the product cost per unit).
12,000
6,000
250
%
5
O
Saved
F5
Prev
2
<6
Budgeted
Activity Usage
42,000
10,000
400
1 of 1
F6
&
7
Next
F7
* CO
8
DII
F8
(
9
8
FO](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe8ec1a3c-ef25-41e0-a640-297aa0ac5121%2F33af2a18-fd37-454b-8ec0-4a4f9c6c21e8%2Fz7ysf53_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Problem Video X
Assignment
ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fbb.johnstoncc.edu%252Fv
ces
!
2
Question 1- Ch. 17 Assignmen X
Required information
[The following information applies to the questions displayed below.]
Activity
Assembly
Tent Master produces Pup tents and Pop-up tents. The company budgets $252,000 of overhead cost and 42,000 direct
labor hours. Additional information follows.
Per Unit
Pup tent
Pop-up tent
Electricity
Materials purchasing
Total
Selling Price
$ 78
73
Activity Cost Driver
Direct labor hours (DLH)
Machine hours (MH)
Purchase orders (PO)
F2
Budgeted Cost
$ 168,000
24,000
60,000
$ 252,000
# 3
(1) PR17 3B Practice Video - Yox +
Direct Materials
80
F3
$ 20
25
Required:
1. Compute an activity rate for each activity using activity-based costing.
2. The following actual activity usage produced 10,000 Pup tents and 6,000 Pop-up tents. Allocate overhead cost to Pup tents and to
Pop-up tents and compute overhead cost per unit for each product.
Activity Usage
Pup tents
30,000
4,000
150
Required 1 Required 2 Required 3 Required 4
$
4
Activity Cost Driver
Direct labor hours (DLH)
Machine hours (MH)
Purchase orders (PO)
Complete this question by entering your answers in the tabs below.
F4
Direct Labor
$ 45
30
Pop-up tents
3. Compute product cost per unit for Pup tents and for Pop-up tents.
4. For each product, compute the gross profit per unit (selling price per unit minus the product cost per unit).
12,000
6,000
250
%
5
O
Saved
F5
Prev
2
<6
Budgeted
Activity Usage
42,000
10,000
400
1 of 1
F6
&
7
Next
F7
* CO
8
DII
F8
(
9
8
FO
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education