Business, 25.11.2021 05:20 mshields1994

Whitman Enterprises uses a traditional-costing system to estimate quality-control costs for its Dragon product line. Costs are estimated at 40% of direct-labor cost, and direct labor totaled $876,000 for the quarter just ended. Management is contemplating a change to activity-based costing, and has established three cost pools: incoming material inspection, in-process inspection, and final product certification. Number of parts, number of units, and number of orders have been selected as the respective cost drivers. The following data show the pool rates that have been calculated by the company along with the quantity of driver units for the Dragon's: Pool Rate Driver Quantities $8.60 per part 21.6 parts 0.28 per unit 131.00 per order 29,600 units 106 orders Required
A. Calculate the quarterly quality-control cost that is allocated to the Dragon product line under Whitman's traditional-costing system
B. Calculate the quarterly quality-control cost that is allocated to the Dragon product line if activity-based costing is used.
C. Does the traditional approach under- or overcost the product line? By what amount?
A. Quality-control cost
B. Quality-control cost
C. Undercost

Answers: 1

Show answers

Another question on Business

Business, 22.06.2019 02:00

Ineed : ): will mark brainliest! describe sinek's golden circle. what does he use this for? sinek argues that "people don't buy 'what' you do; people buy 'why' you do it." what does he mean by this? do you agree or disagree with him? why? what are the advantages of hiring people who share the same beliefs and visions in terms of the company's 'why' or purpose? why wasn't tivo successful as a company? what is the difference between leaders and those who lead? how does safety contribute to trust and cooperation? what are some ways that leaders can make the company environment safe? what are the advantages of companies where employees feel safe and protected?

Answers: 2

Answer

Business, 22.06.2019 18:00

In which job role will you be creating e-papers, newsletters, and periodicals?

Answers: 1

Answer

Business, 22.06.2019 19:30

Alaska king crab fishing in the 1960s and '70s was a dangerous but rich fishery. boats from as far away as california and japan braved the treacherous gulf of alaska crossing to reach the abundant king crab beds in cook inlet and bristol bay. suddenly, in the early 1980s, the fishery crashed due to over fishing. all crabbing in those areas ended. to this day, there is no crabbing in bristol bay or cook inlet. a. how would an economist explain the decline of the alaska king crab fishery

Answers: 3

Answer

Business, 23.06.2019 00:10

Wang distributors has an annual demand for an airport metal detector of 1 comma 350 units. the cost of a typical detector to wang is $400. carrying cost is estimated to be 19% of the unit cost, and the ordering cost is $24 per order. if ping wang, the owner, orders in quantities of 300 or more, he can get a 10% discount on the cost of the detectors. should wang take the quantity discount? \

Answers: 1

Answer

You know the right answer?

Whitman Enterprises uses a traditional-costing system to estimate quality-control costs for its Drag...

Questions