Topic: Welcome to Summer ACCT203 DL Syllabus Summ Chapter 4. Activity-Based C Chapter 4: Homework b Introduction To Managerial X https://newconnect.mheducation.com/flow/connect.html Chapter 4: Homeworki Saved Help Save & Exit Submit Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return to question 3 Exercise 4-8 Computing ABC Product Costs (LO4-2, LO4-3) [The following information applies to the questions displayed below] Performance Products Corporation makes two products, titanium Rims and Posts. Data regarding the two products follow Part 2 of 2 Direct Labor-Hours Annual Production per unit 2 28,000 Rims 0.30 polnts units 76,000 units Posts 0.60 Additional information about the company follows: a. Rims require $17 in direct materials per unit, and Posts require $15. b. The direct labor wage rate is $15 per hour. c. Rims are more complex to manufacture than Posts and they require special equipment. d. The ABC system has the following activity cost pools: Estimated Activity Estimated Overhead Activity Cost Pool Machine setups Activity Measure Number of setups Special processing Machine-hours Rims Total Cost Posts 30,400 $145,160 Direct labor-hours $728,000 120 280 400 2,000 9,000 2,000 56,000 General factory 47,000 Exercise 4-8 Part 2 2. Determine the unit product cost of each product according to the ABC system. (Do not round intermediate calculations. Round your final answers to 2 decimal places.) Answer is complete but not entirely correct. Mc Graw of 7 Prev Next> 3 6:25 PM O Type here to search 7/20/2019
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.
Hello, I need help with this question. The work I did was
Rims:
Direct materials: 17
Direct Labor: 96.42857 (6.4285 * $15)
Manufacturing
Unit Product Cost: 118.27
Posts:
Direct materials: 15
Direct Labor: 17.76315789 (1.184210526 * $15)
Manufacturing overhead: 9.681 (.6 DLHS * $16.135)
Unit Product Cost: 42.44
![Topic: Welcome to Summer
ACCT203 DL Syllabus Summ
Chapter 4. Activity-Based C
Chapter 4: Homework
b Introduction To Managerial
X
https://newconnect.mheducation.com/flow/connect.html
Chapter 4: Homeworki
Saved
Help
Save & Exit
Submit
Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion.
Return to question
3
Exercise 4-8 Computing ABC Product Costs (LO4-2, LO4-3)
[The following information applies to the questions displayed below]
Performance Products Corporation makes two products, titanium Rims and Posts. Data regarding the two products follow
Part 2 of 2
Direct
Labor-Hours
Annual
Production
per unit
2
28,000
Rims
0.30
polnts
units
76,000
units
Posts
0.60
Additional information about the company follows:
a. Rims require $17 in direct materials per unit, and Posts require $15.
b. The direct labor wage rate is $15 per hour.
c. Rims are more complex to manufacture than Posts and they require special equipment.
d. The ABC system has the following activity cost pools:
Estimated Activity
Estimated
Overhead
Activity Cost Pool
Machine setups
Activity Measure
Number of setups
Special processing Machine-hours
Rims
Total
Cost
Posts
30,400
$145,160
Direct labor-hours $728,000
120
280
400
2,000
9,000
2,000
56,000
General factory
47,000
Exercise 4-8 Part 2
2. Determine the unit product cost of each product according to the ABC system. (Do not round intermediate calculations. Round
your final answers to 2 decimal places.)
Answer is complete but not entirely correct.
Mc
Graw
of 7
Prev
Next>
3
6:25 PM
O Type here to search
7/20/2019](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F04c9c296-9553-456f-a4d0-60a8cdfce441%2Fb1cbf865-a285-44c7-bf24-6aed4756b784%2F5giv3i.png&w=3840&q=75)
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