1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
soldi70 [24.7K]
3 years ago
11

Orear Corporation manufactures two products: Product Z34D and Product J25M. The company uses a plantwide overhead rate based on

direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Z34D and J25M.
Activity Cost Pool Activity Measure Total Cost Total Activity
Machining Machine-hours $ 120,000 6,000 MHs
Machine setups Number of setups $ 90,000 150 setups
Product design Number of products $ 84,000 2 products
General factory Direct labor-hours $ 300,000 10,000 DLHs
Activity Measure Product Z34D Product J25M
Machine-hours 4,000 2,000
Number of setups 90 60
Number of products 1 1
Direct labor-hours 7,000 3,000
Required:
1. Using the plantwide overhead rate, the percentage of the total overhead cost that is allocated to Product J25M is closest to ___________.
Business
1 answer:
Molodets [167]3 years ago
6 0

Answer:

30%

Explanation:

For computing the percentage of the total overhead cost we need to find first plantwide overhead rate and Product J25M (absorbed overhead) which is shown below:-

Plantwide overhead rate = Total plant overhead ÷ Total number of labor hours

= ($120,000 + $90,000 + $84,000 + $300,000) ÷ (7,000 + 3,000)

= $594,000 ÷ 10,000

= 59.4 per labor hour

Product J25M (absorbed overhead) = Plantwide overhead rate × Direct labor hours of Product J25M

= $59.4 × 3,000

= $178,200

So, the Percentage of the total overhead cost = Product J25M (absorbed overhead) ÷ Total plant overhead × 100

= $178,200 ÷ $594,200 × 100

= 30%

You might be interested in
Dave has forty acres where he grows corn and soybeans. He also has five milk cows and some chickens. Dave sells organic milk and
I am Lyosha [343]
He has 20
cows cause his mom is fat
3 0
3 years ago
If the Canadian dollar is strengthening, then:
Rainbow [258]

Answer:

The correct answer is (D) it has appreciated in terms of other currencies.

Explanation:

Currency appreciation is the increase in the value of a country's currency with respect to one or more foreign reference currencies, which normally occurs in a floating exchange system.

The reasons that can make a currency or currency appreciate are diverse and usually related to a high demand for it. For example, the consideration of a currency as a low risk of depreciation or a very high level of exports of a country (the demand for the currency to pay for exports will increase) are causes that give rise to the appreciation of a currency.

7 0
3 years ago
What are the cons of using new residential sales/new home sales as a economic indicator?
rodikova [14]

Answer:

New home sales and existing home sales are released each month at about the same time. Many comparisons are made between the two series, but before doing any comparisons, one must be aware of some definition differences that affect the timing of the statistics.

The Census Bureau collects new home sales based upon the following definition: "A sale of the new house occurs with the signing of a sales contract or the acceptance of a deposit." The house can be in any stage of construction: not yet started, under construction, or already completed. Typically about 25% of the houses are sold at the time of completion. The remaining 75% are evenly split between those not yet started and those under construction.

Existing home sales data are provided by the National Association of Realtors®. According to them, "the majority of transactions are reported when the sales contract is closed." Most transactions usually involve a mortgage which takes 30-60 days to close. Therefore an existing home sale (closing) most likely involves a sales contract that was signed a month or two prior.

Given the difference in definition, new home sales usually lead existing home sales regarding changes in the residential sales market by a month or two. For example, an existing home sale in January, was probably signed 30 to 45 days earlier which would have been in November or December. This is based on the usual time it takes to obtain and close a mortgage.

Effective with January 2005, the National Association of Realtors created a new monthly series to overcome the lagging effect of the existing home sales definition. This new series is called Pending Home Sales and is based on sales of existing homes where the contract has been signed but the transaction has not been closed, making it roughly equivalent to the new home sales definition. Monthly estimates are expressed as an index where the year 2001 has been set to equal 100.0.

Explanation:

8 0
2 years ago
imagine braintly not allowing you to talk to a helping hand. yall doing too much that's why they think they the Kardashianios​
Readme [11.4K]

Answer:

That's just how they are lol

5 0
3 years ago
When her roommate asked connie why she wasn't studying for a big test scheduled for the next day, connie replied, it doesn't mak
Pavel [41]
It concludes that Connie has an external locus of control. It is where an individual has the belief that the results of what is going to happen to them is base on external factors which are beyond to their control. It is likely depends on their success and failures with the given circumstances that they are to face. It could be seen above as Connie thinks that she's going to have a low grade, given even if she study or not because of the beliefs that she has acquired.
6 0
3 years ago
Other questions:
  • The direct exchange of goods and services for other goods and services is known as
    14·1 answer
  • The difference between a merger and an acquisition is
    14·1 answer
  • Peyton's Palace has net income of $13.4 million on sales revenue of $114 million. Total assets were $80 million at the beginning
    8·1 answer
  • On January 1, 2021, a company signs a 25-year lease for land. Annual payments of $20,000 begin on December 31, 2021. The company
    6·1 answer
  • Your company uses social media for marketing purposes. How does your company benefit by communicating with customers through soc
    15·2 answers
  • According to a summary of the payroll of Kirby Co., $700,000 in earnings were subject to the 7.6% FICA tax. Also, $108,500 in ea
    9·1 answer
  • The chart shows a range of credit scores.
    11·2 answers
  • John's company makes a great product and customers are happy with their purchases. Unfortunately, few potential customers visit
    6·1 answer
  • How can you describe the business in no more than 2 sentences?
    15·1 answer
  • If only one airline serves a town, does a monopoly exist? What about competition from other services?
    8·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!