Activity Based Costing: Activity based costing is one of the methods of costing to identify the activities performed to manufacture a product and to allocate the overhead cost of resources or indirect cost to the related products. Job order costing Job order costing is one of the methods of costing to find out the cost of an individual job or the cost of batches of jobs in the manufacturing firm where different products or unique products are manufactured simultaneously. It is also known as job costing. Here the word job refers to a single or several units of different product or service. To calculate: Allocation of overhead cost to each activity cost pool and to calculate the activity rate for each pool

Question

Want to see the full answer?

Answer 1

Question

Chapter 5, Problem 5.33P

1.

To determine

Activity Based Costing:

Activity based costing is one of the methods of costing to identify the activities performed to manufacture a product and to allocate the overhead cost of resources or indirect cost to the related products.

Job order costing

Job order costing is one of the methods of costing to find out the cost of an individual job or the cost of batches of jobs in the manufacturing firm where different products or unique products are manufactured simultaneously. It is also known as job costing. Here the word job refers to a single or several units of different product or service.

To calculate: Allocation of overhead cost to each activity cost pool and to calculate the activity rate for each pool

2.

To determine

The cost of order 448200.

3.

To determine

To explain: Ability to price orders enhanced by activity based costing method and affect on price if T had used traditional costing method.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

What was the total amount of the merchandise purchase?

Colton Inc. is a merchandising company. Last month, the company's cost of goods sold was $85,600. The company's beginning merchandise inventory was $18,200, and its ending merchandise inventory was $30,500. What was the total amount of the company's merchandise purchases for the month? correct answer

Colton Inc. is a merchandising company. Last month, the company's cost of goods sold was $85,600. The company's beginning merchandise inventory was $18,200, and its ending merchandise inventory was $30,500. What was the total amount of the company's merchandise purchases for the month?

Answer 2

Question

Chapter 5, Problem 5.33P

1.

To determine

Activity Based Costing:

Activity based costing is one of the methods of costing to identify the activities performed to manufacture a product and to allocate the overhead cost of resources or indirect cost to the related products.

Job order costing

Job order costing is one of the methods of costing to find out the cost of an individual job or the cost of batches of jobs in the manufacturing firm where different products or unique products are manufactured simultaneously. It is also known as job costing. Here the word job refers to a single or several units of different product or service.

To calculate: Allocation of overhead cost to each activity cost pool and to calculate the activity rate for each pool

2.

To determine

The cost of order 448200.

3.

To determine

To explain: Ability to price orders enhanced by activity based costing method and affect on price if T had used traditional costing method.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 5, Problem 5.33P

1.

To determine

Activity Based Costing:

Activity based costing is one of the methods of costing to identify the activities performed to manufacture a product and to allocate the overhead cost of resources or indirect cost to the related products.

Job order costing

Job order costing is one of the methods of costing to find out the cost of an individual job or the cost of batches of jobs in the manufacturing firm where different products or unique products are manufactured simultaneously. It is also known as job costing. Here the word job refers to a single or several units of different product or service.

To calculate: Allocation of overhead cost to each activity cost pool and to calculate the activity rate for each pool

2.

To determine

The cost of order 448200.

3.

To determine

To explain: Ability to price orders enhanced by activity based costing method and affect on price if T had used traditional costing method.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 5, Problem 5.33P

1.

To determine

Activity Based Costing:

Activity based costing is one of the methods of costing to identify the activities performed to manufacture a product and to allocate the overhead cost of resources or indirect cost to the related products.

Job order costing

Job order costing is one of the methods of costing to find out the cost of an individual job or the cost of batches of jobs in the manufacturing firm where different products or unique products are manufactured simultaneously. It is also known as job costing. Here the word job refers to a single or several units of different product or service.

To calculate: Allocation of overhead cost to each activity cost pool and to calculate the activity rate for each pool

2.

To determine

The cost of order 448200.

3.

To determine

To explain: Ability to price orders enhanced by activity based costing method and affect on price if T had used traditional costing method.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 5, Problem 5.33P

1.

To determine

Activity Based Costing:

Activity based costing is one of the methods of costing to identify the activities performed to manufacture a product and to allocate the overhead cost of resources or indirect cost to the related products.

Job order costing

Job order costing is one of the methods of costing to find out the cost of an individual job or the cost of batches of jobs in the manufacturing firm where different products or unique products are manufactured simultaneously. It is also known as job costing. Here the word job refers to a single or several units of different product or service.

To calculate: Allocation of overhead cost to each activity cost pool and to calculate the activity rate for each pool

2.

To determine

The cost of order 448200.

3.

To determine

To explain: Ability to price orders enhanced by activity based costing method and affect on price if T had used traditional costing method.

Answer 6

Chapter 5, Problem 5.33P

1.

To determine

Activity Based Costing:

Activity based costing is one of the methods of costing to identify the activities performed to manufacture a product and to allocate the overhead cost of resources or indirect cost to the related products.

Job order costing

Job order costing is one of the methods of costing to find out the cost of an individual job or the cost of batches of jobs in the manufacturing firm where different products or unique products are manufactured simultaneously. It is also known as job costing. Here the word job refers to a single or several units of different product or service.

To calculate: Allocation of overhead cost to each activity cost pool and to calculate the activity rate for each pool

Answer 7

Chapter 5, Problem 5.33P

1.

To determine

Activity Based Costing:

Activity based costing is one of the methods of costing to identify the activities performed to manufacture a product and to allocate the overhead cost of resources or indirect cost to the related products.

Job order costing

Job order costing is one of the methods of costing to find out the cost of an individual job or the cost of batches of jobs in the manufacturing firm where different products or unique products are manufactured simultaneously. It is also known as job costing. Here the word job refers to a single or several units of different product or service.

To calculate: Allocation of overhead cost to each activity cost pool and to calculate the activity rate for each pool

Answer 8

2.

To determine

The cost of order 448200.

Answer 9

2.

To determine

The cost of order 448200.

Answer 10

3.

To determine

To explain: Ability to price orders enhanced by activity based costing method and affect on price if T had used traditional costing method.

Answer 11

3.

To determine

To explain: Ability to price orders enhanced by activity based costing method and affect on price if T had used traditional costing method.

Answer 12

Expert Solution & Answer

Answer 13

Expert Solution & Answer

Answer 14

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 15

Ch. 5 - What is broad averaging, and what consequences can...Ch. 5 - Why should managers worry about product...Ch. 5 - What is costing system refinement? Describe three...Ch. 5 - What is an activity-based approach to designing a...Ch. 5 - Describe four levels of a cost hierarchy.Ch. 5 - Why is it important to classify costs into a cost...Ch. 5 - What are the key reasons for product cost...Ch. 5 - Prob. 5.8Q Ch. 5 - Department indirect-cost rates are never...Ch. 5 - Prob. 5.10Q

The cost of order 448200.

To explain: Ability to price orders enhanced by activity based costing method and affect on price if T had used traditional costing method.

Want to see the full answer?

Chapter 5 Solutions