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Oxana [17]
3 years ago
12

Ekmark Corporation uses the following activity rates from its activity based costing to assign overhead costs to products: Activ

ity Cost Pools Activity Rate Assembling products $6.56 per assembly hour Processing customer orders $65.38 per customer order Setting up batches $82.84 per batch Data for one of the company's products follow: Product P59G Number of assembly hours 240 Number of customer orders 48 Number of batches 64 How much overhead cost would be assigned to Product P59G using the activity based costing system
Business
1 answer:
mel-nik [20]3 years ago
8 0

Answer:

The correct answer is $10,014.40.

Explanation:

According to the scenario, computation of the given data are as follows:

Total cost of assembling = $6.56 × 240 = $1,574.40

Total cost of processing customer order = $65.38 × 48 = $3,138.24

Total cost of setting up batches = $82.84 × 64 = $5,301.76

So, we can calculate the total overhead cost by using following formula:

Total Overhead = $1,574.40 + $3,138.24 + $5,301.76

= $10,014.40

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Buffy is engaging product users to create an exhaustive list of things that bother them when they use the product and how often
Luden [163]
What is your question? :)
7 0
3 years ago
Walden Industries is considering investing in productionminusmanagement software that costs $ 630 comma 000​, has $ 60 comma 000
nadya68 [22]

Answer:

345,000

Explanation:

accounting rate of return:

\frac{net \:profit}{average \: investment}

The average investment will be the average between the ending and beginning book value of the investment:

In this case, the acquisition of the software and his salvage value at the end of the useful life.

( 630,000 + 60,000 ) / 2 = 345,000

4 0
3 years ago
An electronic firm invested $60,000 in a precision inspection device. It cost $4000 to operate and maintain in the first year an
Anon25 [30]

Answer:

$9,287.63

Explanation:

Data provided in the question:

Amount invested = $60,000

Operating cost for the first year = $4000

Operating and maintaining cost after 1 year = $3,000

Selling price  = $60,000

Now,

Amount paid extra in the year 1 =  $4,000 - $3,000

= $1,000

EUAC ($)

= $60,000 × A/P(10%, 4) + $3,000 + $1,000 × P/F(10%, 1) × A/P(10%, 4) - [ $60,000 × P/F(10%, 4) × A/P(10%, 4) ]

= [ $60,000 × 0.3155 + 3,000 + 1,000 × 0.9091 × 0.3155 ] - [ 60,000 × 0.6830 × 0.3155  ]

= [ $18,930 + $3,000 + $286.82 ] - [ $12,929.19 ]

= $9,287.63

5 0
3 years ago
Carey Company had sales in 2016 of $1,560,000 on 60,000 units. Variable costs totaled $900,000, and fixed costs totaled $500,000
user100 [1]

Answer:

Results are below.

Explanation:

<u>Giving the following information: </u>

Selling price per unit= 1,560,000 / 60,000= $26

Unitary variable cost= 900,000 / 60,000= $15

Fixed costs= $500,000.

<u>First, the income statement without the changes:</u>

Sales= 1,560,000

Total varaible cost= (900,000)

Contribution margin= 660,000

Total fixed costs= (500,000)

Net operating income= 160,000

<u>Now, with the changes:</u>

Unitary variable cost= (15*0.8)= 12

Selling price= 26 - 1.5= $24.5

Sales in units= 60,000*1.05= 63,000

Fixed costs= 500,000 + 100,000= $600,000

Sales= 24.5*63,000= 1,543,500

Total variable cost= (12*63,000)= (756,000)

Total contribution margin= 787,500

Fixed costs= (600,000)

Net operating income= 187,500

3 0
3 years ago
In an outsourcing decision, developing and negotiating the outsourcing contract: is not an area where supply managers believe th
RoseWind [281]

Answer:

The correct answer is is of less strategic importance than identifying opportunities for outsourcing.

Explanation:

Outsourcing consists in the delegation of functions from one company to another that specializes in this task. Among its greatest benefits are cost reduction and access to new technologies, among others, however, if the service provider does not have sufficient capacity to perform this function, it may damage the image of the contracting company. This tool can be used tactically or strategically and can be adapted to the requirements of the company requesting the service, it is implemented at different levels and in areas of the organization that are not essential to gain competitiveness.

7 0
3 years ago
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