Business, 24.03.2020 05:24 jesusdelao

This problem has been solved!
See the answer
Murri Corporation has an activity-based costing system with three activity cost pools-Processing, Supervising, and Other. The company's overhead costs, which consist of factory utilities and indirect labor, are allocated to the cost pools in proportion to the activity cost pools' consumption of resources. Costs in the Processing cost pool are assigned to products based on machine-hours (MHs) and costs in the Setting Up cost pool are assigned to products based on the number of batches. Costs in the other cost pool are not assigned to products. Data concerning the two products and the company's costs and activity-based costing system appear below:

Factory Utilities(total): 29000
Indirect Labor(total): 7000

Distribution of Resource Consumption Across Activity Cost Pools:
Processing Setting Up Other Processing Setting up Other
Factory Utilities .4 .1 .5
Indirect Labor .5 .2 .3

MHs Batches

Product X7 2,900 700

Product L4 7,100 300

TOTAL 10,000 1,000

Product X7 Product L4

Sales (total) $54,000 $85,100

Direct Materials (total) $19,100 $33,500

Direct Labor (total) $26,300 $35,000

a) Assign overhead cost to activity cost pools using activity-based costing.

b) Calculate activity rates for each activity cost pool using activity-based costing.

c) Determine the amount of overhead cost that would be assigned to each product using activity-based costing.

d) How much out of the cost would NOT be assigned to products using the activity-based costing system?

e) Determine the product margins for each product using activity-based costing.

Answers: 3

Show answers

Another question on Business

Business, 21.06.2019 21:00

The table shows the demand and supply schedules for magazines. complete the following sentences. the equilibrium price of a magazine is $ 4 and the equilibrium quantity is 150 magazines a week. price (dollars per magazine) quantity demanded quantity supplied (magazines per week) 3.00 160 138 3.50 155 144 4.00 150 150 4.50 145 156 5.00 140 161 now a fall in the price of a newspaper decreases the quantity demanded by 11 magazines a week at each price. at the original equilibrium price, a occurs. to return to equilibrium, the price of a magazine a. surplus; rises b. shortage; rises c. shortage; falls d. surplus; falls as the market returns to equilibrium, the quantity demanded and the quantity supplied a. decreases; increases b. decreases; decreases c. increases; decreases d. increases; increases the new equilibrium price is $ nothing a magazine.

Answers: 1

Answer

Business, 22.06.2019 10:40

Two assets have the following expected returns and standard deviations when the risk-free rate is 5%: asset a e(ra) = 18.5% σa = 20% asset b e(rb) = 15% σb = 27% an investor with a risk aversion of a = 3 would find that on a risk-return basis. a. only asset a is acceptable b. only asset b is acceptable c. neither asset a nor asset b is acceptable d. both asset a and asset b are acceptable

Answers: 2

Answer

Business, 22.06.2019 12:50

You are working on a bid to build two city parks a year for the next three years. this project requires the purchase of $249,000 of equipment that will be depreciated using straight-line depreciation to a zero book value over the three-year project life. ignore bonus depreciation. the equipment can be sold at the end of the project for $115,000. you will also need $18.000 in net working capital for the duration of the project. the fixed costs will be $37000 a year and the variable costs will be $148,000 per park. your required rate of return is 14 percent and your tax rate is 21 percent. what is the minimal amount you should bid per park? (round your answer to the nearest $100) (a) $214,300 (b) $214,100 (c) $212,500 (d) $208,200 (e) $208,400

Answers: 3

Answer

Business, 22.06.2019 21:00

Ryan terlecki organized a new internet company, capuniverse, inc. the company specializes in baseball-type caps with logos printed on them. ryan, who is never without a cap, believes that his target market is college and high school students. you have been hired to record the transactions occurring in the first two weeks of operations.

Answers: 1

Answer

You know the right answer?

This problem has been solved!
See the answer
Murri Corporation has an activity-based cos...

Questions