Shane's Cookware Company has three cost pools and overhead estimates are asfollows:Activity Cost PoolMachine setupsAssemblyMachine maintenanceCost DriverSetupsNumber of partsMachine hoursEstimatedOH Cost360,000420,000500,000Use perUse perProduct A Product B8,0004,00020,00036,0009,000 41,000A. Compute the OH allocation using the activity-based costing method for productA:480000B. Compute the OH allocation using the activity-based costing method for productB:800000

Shane's Cookware Company has three cost pools and overhead estimates are as follows: Activity Cost Pool Machine setups Assembly Machine maintenance Cost Driver Setups Number of parts Machine hours Estimated Use per Use per OH Cost Product A Product B 8,000 4,000 20,000 36,000 9,000 41,000 360,000 420,000 500,000 A. Compute the OH allocation using the activity-based costing method for product A: 480000 B. Compute the OH allocation using the activity-based costing method for product B: 800000

Shane's Cookware Company has three cost pools and overhead estimates are as follows: Activity Cost Pool Machine setups Assembly Machine maintenance Cost Driver Setups Number of parts Machine hours Estimated Use per Use per OH Cost Product A Product B 8,000 4,000 20,000 36,000 9,000 41,000 360,000 420,000 500,000 A. Compute the OH allocation using the activity-based costing method for product A: 480000 B. Compute the OH allocation using the activity-based costing method for product B: 800000

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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