Total Overhead Costs Bars per hour Production hours per day Average Work Days per Month Practical Capacity Volume (# Bars) per Month Overhead cost per Bar 175 X 8.0 X 20.5 $24,800 +28,700 $0.86 Table 3: Amanda's Current Direct Labour Cost Estimates per Bar Production Department 1.25 oz. Bar 3.0 oz. Bar 3.25 oz. Bar Pouring $0.03 $0.08 $0.08 Inspection $0.05 $0.02 $0.02 Foiling $0.06 $0.06 $0.06 Labelling $0.06 $0.06 $0.06 Total Direct Labour Cost per Bar $0.20 $0.22 $0.22

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

PLEASE HELP WOTH THIS QUESTIONNNN. Calculate the departmental activity cost driver rates per hour for each of the four
production departments. Assume that each production department operates for 8 hours per day, 20.5 days per month.

Total Overhead Costs
Bars per hour
Production hours per day
Average Work Days per Month
Practical Capacity Volume (# Bars) per
Month
Overhead cost per Bar
175
X 8.0
X 20.5
$24,800
+28,700
$0.86
Transcribed Image Text:Total Overhead Costs Bars per hour Production hours per day Average Work Days per Month Practical Capacity Volume (# Bars) per Month Overhead cost per Bar 175 X 8.0 X 20.5 $24,800 +28,700 $0.86
Table 3: Amanda's Current Direct Labour Cost Estimates per Bar
Production Department
1.25 oz. Bar
3.0 oz. Bar
3.25 oz. Bar
Pouring
$0.03
$0.08
$0.08
Inspection
$0.05
$0.02
$0.02
Foiling
$0.06
$0.06
$0.06
Labelling
$0.06
$0.06
$0.06
Total Direct Labour Cost per Bar
$0.20
$0.22
$0.22
Transcribed Image Text:Table 3: Amanda's Current Direct Labour Cost Estimates per Bar Production Department 1.25 oz. Bar 3.0 oz. Bar 3.25 oz. Bar Pouring $0.03 $0.08 $0.08 Inspection $0.05 $0.02 $0.02 Foiling $0.06 $0.06 $0.06 Labelling $0.06 $0.06 $0.06 Total Direct Labour Cost per Bar $0.20 $0.22 $0.22
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education