Tandem Company manufactures two products (D and F). The overhead costs ($89,750) have been divided into three cost pools that use the following activity drivers: Product Number of Setups Machine Hours Packing Orders D 10 500 75 F 10 2,000 175 Cost per pool $11,000 $60,000 $18,750 What is the allocation rate per packing order using activity-based costing? a.$250 b.$1,875 c.$75 d.$

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A: The objective of the question is to calculate the cost per unit of Product A using activity-based…

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Q: Harbor images nas collected the lollowing cost data for various leveis of activity. Images Created…

A:

Q: department are: Work in conversion cost) Units received from Dep't. 1 Units transferred to Dep't 3…

A: Solution:   Units % Conversion EUP-Conversion units in process, beg. 1400 25% 350 Units…

Q: world Pet Supply Corporation manufactures two models of grooming stations, a standard and a deluxe…

A: Overhead expense are the expense which incurred during the year other than direct material or direct…

Q: Valencia Company manufactures two products. Product A has 800 units produced, require 200 material…

A: Cost allocated to A = P2,000,000 x 200/1000 = P400,000 Coat allocated to B = P2,000,000 x 800/1000 =…

Q: Pasternik Company produces and sells two products, Alpha and Zeta. The following information is…

A: Activity-based costing is used to allocate overhead expenses on the basis of activity. Other than…

Q: Boswell Company manufactures two products, Regular and Supreme. Boswell’s overhead costs consist of…

A: Using traditional costing, the total overhead cost is divided using the direct labor hours. In…

Q: Original company manufactures two models of juice, Big model and Small model. The Following activity…

A: Given information is: Total overhead costs = $80,000 Basis of overhead allocation = direct labour…

Q: P Company uses activity-based costing for its product Even and Odd. The total estimated annual…

A: Formula: Overheads allocated to product Even for set up cost = ( Total estimated annual overhead /…

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A: Activity based (AB) costing is updation of traditional costing. In this, overheads are allocated on…

Q: Gable Company uses three activity pools. Each pool has a cost driver. Information for Gable Company…

A: Activity-based costing is used to distribute the overhead. This method is used to allocate the…

Q: amett Products manufactures three types of remote-control devices: Economy, Standard, and Deluse.…

A: Total Direct labor hours required = (10,400*2) + (5,400*2) + (2,400*2)…

Q: amount of overheads allocated to product Apex

A: Estimated annual overhead cost for set up (A) RO 440,000 Number of set ups (B) 4,000 Overhead…

Q: Gable Company uses three activity pools. Each pool has a cost driver. Information for Gable Company…

A: Activity Rate :— It is the rate used to allocate manufacturing overhead cost to cost object under…

Q: 4. JYD Corporation has identified activity centers to which overhead cost are assigned. The cost…

A: solution calculation of activity rate Activity Cost Cost driver Level of cost driver…

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A: Total overhead per unit is calculated by dividing the total overhead by the number of units.

Q: Lezdodis corporation manufactures a product in three departments. department are: Data related to…

A: Solution:   Units % Conversion EUP-Conversion units in process, beg. 1400 25% 350 Units…

Q: edregon Corporation has provided the following information:     Cost per Unit Cost per Period…

A: Here,Selling Price per Unit$20.70Direct materials$ 6.65Direct labor$ 3.70Variable manufacturing…

Q: GG Merchandise manufactures two products. Product A has 800 units produced, require 200 material…

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Q: X Company uses activity-based costing for its product Supreme and Exel. The total estimated annual…

A: Activity rate = RO 650,000 / 2500 set ups Activity rate = RO 260 per set up

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Q: BDG Company manufactures two products (X and Y). The overhead costs (£100,000) have been divided…

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Q: Ocean Company makes calendars. Information on cost per unit is as follows: Direct materials $1.50…

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A: Activity based costing is the recent popular technique in Cost Accounting…

Q: North Street Corporation manufactures two models of motorized go-carts, a standard and a deluxe…

A: Activity Rate :— It is the rate used to allocate manufacturing overhead cost to cost object under…

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Q: Godiva company has two products, A and B. The company uses activity-based costing to allocate…

A: Activity rate (allocation rate) for Activity 2 = Total overhead cost for the activity 2 / Total no.…

Q: Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts…

A: Standard costing is the process of replacing an actual cost in the accounting records with an…

Q: A company uses activity-based costing to calculate the unit cost of its products. The figures for…

A: Total set-up costs need to be apportioned among the product A and B.

Q: ELU Company makes two products in a single facility. These products have the following unit product…

A: Cost accounting is the one used by the managers and cost accountants widely to determine the cost of…

Q: A company uses activity-based costing. The company makes two products: A and B. The annual…

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Q: Ship Company produces storage crates that require 43.0 meters of material at $0,20 per meter and…

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Q: Abel Corporation uses activity-based costing. The company makes two products: Product A and Product…

A: The activity rate is defined as the rate which is arrived at by dividing the value of the total cost…

Q: Deoro Company has identified the following overhead activities, costs, and activity drivers for the…

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Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.