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Sergeeva-Olga [200]
4 years ago
5

Hp has found themselves with a short term part shortage situation that is affecting their ability to cover customer demand of a

key mid-range computer model that they offer on their internet sales site. as they try to balance their supply and demand, what might be some good strategies they might employ here?
Business
1 answer:
geniusboy [140]4 years ago
5 0

HP could offer discounts on other models for a limited time to shift demand until supplies even out.

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Answer:

1. $53.75 per direct labor hour

2. $80.625 per machine hour

Explanation:

Total manufacturing overhead costs= $1112500+$500000  = $1612500

Total direct labor hours= 11000+19000=30000

Total machine hours= 5000+15000=20000

1.       Company’s single plantwide overhead rate based on direct labor hours

= Estimated overhead costs/Estimated direct labor hours

=$1612500/30000 =$53.75 per direct labor hour

2.       Company’s single plantwide overhead rate based on machine hours

= Estimated overhead costs/Estimated Machine hours

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Moorman Corporation has an activity-based costing system with three activity cost pools--Processing, Setting Up, and Other. The
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<em>Overhead</em><em>:</em>

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Explanation:

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Indirect labor: 20% x   8,000  =<u>   1,600  </u>

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Indirect labor: 50% x   8,000  =<u>  4,000  </u>

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