Your Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows:EstimatedExpected ActivityActivity Cost PoolCostProduct AProduct BTotalActivity 1$17,6007003001,000Activity 2$32,600600200800Activity 3$52.5009005001,400What is the activity rate under the activity-based costing system for Activity 1?O $17.60$58.33O $37.50$40.75.O $25.14

Activity-Based Costing: It refers to a costing method in which allocation of overhead costs are done…

Your Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows Estimated Expected Activity Activity Cost Pool Product A Product B Total Cost Activity 1 $17,600 700 300 1.000 Activity 2 $32,600 600 200 800 Activity 3 $52,500 900 500 1,400 What is the activity rate under the activity-based costing system for Activity 1? O $17.60 O 558.33 O $37.50 O $40.75.

Your Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows Estimated Expected Activity Activity Cost Pool Product A Product B Total Cost Activity 1 $17,600 700 300 1.000 Activity 2 $32,600 600 200 800 Activity 3 $52,500 900 500 1,400 What is the activity rate under the activity-based costing system for Activity 1? O $17.60 O 558.33 O $37.50 O $40.75.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

25: Lonsdale Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows: Activity Budgeted Activity Cost Activity Base Casting $570,000 Machine hours Assembly 80,000 Direct labor hours Inspecting Setup Materials handling 42,000 Number of inspections Number of setups 38,000 23,750 Number of loads Corporate records were obtained to estimate the amount of activity to be used by the two products. The estimated activity-base usage quantities and units produced follow: Activity Base Entry Dining Total Machine hours 6,000 13,000 19,000 Direct labor hours 3,000 2,000 5,000 Number of inspections 600 400 1,000 Number of setups 300 200 500 Number of loads 450 500 950 Units produced 6,000 3,000 9,000
Compute the product margins for B300 and T500 under the company's traditional costing system. Compute the product margins for B300 and T500 under the activity-based costing system. Prepare a quantitative comparison of the traditional and activity-based cost assignments.
implementing an activity-based costing system that has four activity cost pools: Travel, Pickup and Delivery, Customer Service, and Other. The activity measures are miles for the Travel cost pool, number of pickups and deliveries for the Pickup and Delivery cost pool, and number of customers for the Customer Service cost pool. The Other cost pool has no activity measure because it is an organization-sustaining activity. The following costs will be assigned using the activity-based costing system Driver and guard wages Vehicle operating expense Vehicle depreciation. Customer representative salaries and i expenses office expenses Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses office expenses Administrative expenses Administrative expenses Total cost The distribution of resource consumption across the activity cost pools is as follows. Pickup and Delivery 35% 5% $1,000,000 510,000 390,000 Driver and guard wages Vehicle…
>>>>__
please asnzwer as soon as possible
Please help me with show all calculation thanku
The following figure depicts the complete system that Office Inc. uses to estimate the total cost of each office desk and office chair that it produces. How many cost pools does Office Inc.'s 2-stage costing system use for Office Chair objects? A. 7 B. 0 C. 6 D. 5 E. 4 F. 2 G. 1 H. 3 I. 8
Please solve this one with calculation and explanation
what is the labor-related activity cost pool per DLH what is the machine-related activity cost pool per MH what is the machine setups activity cost pool per seteup what is the production orders activity cost per order what is the product testing activity cost per test what is the packaging activity cost per package what is the general factory activity cost per DLH
Activity-based costing can be used to allocate period costs to various products that the company sells. False True
A company which uses activity-based costing has two products: A and B. The annual production and sales of Product A is 12,000 units and of Product B is 10,500 units. There are three activity cost pools, with total cost and total activity as follows: Total Activity Product Product A Activity Cost Pool Total Cost Total Activity 1 Activity 2 Activity 3 52-54 $25,420 130 490 620 $38,400 $122,670 890 310 1,200 820 3,410 4,230 The activity-based costing cost per unit of Product A is closest to: (Round your intermediate calculations to 2 decimal places.) Multiple Choice $10.79 $1.60 $4.80 $3.10
Hi-Tek Manufacturing, Incorporated, makes two industrial component parts-B300 and T500. An absorption costing income statement for the most recent period is shown below: Hi-Tek Manufacturing, Incorporated Income Statement Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating loss Hi-Tek produced and sold 60,400 units of B300 at a price of $21 per unit and 12,800 units of T500 at a price of $39 per unit. The company's traditional cost system allocates manufacturing overhead to products using a plantwide overhead rate and direct labor dollars as the allocation base. Additional information relating to the company's two product lines is shown below: Direct materials Direct labor Manufacturing overhead Cost of goods sold $ 1,767,600 1,212,922 554,678 610,000 $ (55,322) 8300 T500 $ 400,300 $ 162,400 $ 120,100. $ 42,400 Activity Cost Pool (and Activity Measure) Machining (machine-hours) Setups (setup hours) Product-sustaining (number of products) Other…