job #309 incurrerrd $900 of direct material, 30 hours of direct labor at $40 per hour, 80 machine hours and 5 inspctions **Activity-Based Costing in Manufacturing**Turco Products manufactures toys. In the past, Turco has been using a traditional simple costing system that distorts costs and selling prices. Turco has decided to switch to an activity-based costing system using the following data:| Activity Cost Pool | Total Cost | Total Activity ||-------------------------|------------|----------------------------|| Labor Related | $40,000 | 8,000 direct labor-hours || Machine Related | $50,000 | 12,500 machine hours || Quality Control | $12,000 | 800 inspections |*Job #309 incurred $900 of direct material, 30 hours of direct labor at $40 per hour, 80 machine hours, and 5 inspections.*### Required:1. **Compute the cost allocation rate for each activity.**2. **Compute the total overhead cost charged to Job #309.**3. **What is the cost of the job under the activity-based costing system?**For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).

Name: job #309 incurrerrd $900 of direct material, 30 hours of direct labor
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Description: job #309 incurrerrd $900 of direct material, 30 hours of direct labor at $40 per hour, 80 machine hours and 5 inspctions **Activity-Based Costing in Manufacturing**Turco Products manufactures toys. In the past, Turco has been using a traditional simp

As per activity-based costing the overhead cost of the entity is allocated based on the number of…

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urco Products manufactures toys. In the past, Turco has been using a traditional simple costing syster storting costs and selling prices, Turco has decided to switch to an activity-based costing system usir: Activity Cost Pool Labor Related. Machine Related.. Quality Control.. Total Cost $40,000 $50,000 $12,000 Total Activity 8,000 direct labor-hours 12,500 machine hours 800 inspections ob #309 incurred $900 of direct material, 30 hours of direct labor at $40 per hour, 80 machine hours, an Required: a- Compute the cost allocation rate for each activity. b- Compute the total overhead cost charged to Job #309. in the cost of the job under the activity-based costing system?

urco Products manufactures toys. In the past, Turco has been using a traditional simple costing syster storting costs and selling prices, Turco has decided to switch to an activity-based costing system usir: Activity Cost Pool Labor Related. Machine Related.. Quality Control.. Total Cost $40,000 $50,000 $12,000 Total Activity 8,000 direct labor-hours 12,500 machine hours 800 inspections ob #309 incurred $900 of direct material, 30 hours of direct labor at $40 per hour, 80 machine hours, an Required: a- Compute the cost allocation rate for each activity. b- Compute the total overhead cost charged to Job #309. in the cost of the job under the activity-based costing system?

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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