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
nydimaria [60]
3 years ago
6

Bob Clarke Corporation has provided the following data from its activity-based costing system: Activities Estimated Overhead Cos

t Expected Activity Assembly $1,005,040 68,000 machine-hours Processing orders $102,500 2,000 orders Inspection $139,840 1,900 inspection-hours The company makes 450 hockey sticks a year, requiring a total of 710 machine-hours, 42 orders, and 12 inspection-hours per year. The product's direct materials cost is $36.42 per hockey stick and its direct labor cost is $30.16 per hockey stick. Required: 1. Calculate the unit product cost of one hockey stick according to the activity-based costing system (Round your final answer to two decimal places).
Business
1 answer:
AfilCa [17]3 years ago
7 0

Answer:

Total Unit Cost=  $ 96.65

Explanation:

Bob Clarke Corporation

Activities           Estimated Overhead Cost       Expected Activity

Assembly                     $1,005,040                 68,000 machine-hours

Processing orders       $102,500                       2,000 orders

Inspection                    $139,840                    1,900 inspection-hours

<u><em>First we find the overhead rates using ABC costing method.</em></u>

<u><em></em></u>

Overhead Rates=  Estimated Overhead Cost/ Expected Activity

Assembly Rate=   $1,005,040 /68,000 = $ 14.78 per machine-hours

Processing rate= $102,500 / 2,000= $ 51.25 per orders

Inspection Rate=  $139,840/ 1,900=  $ 73.6 per inspection-hours

<u><em>Then we find the overhead costs applying the ABC Costing rates</em></u>

<u><em></em></u>

Overhead Costs Of 450 Hockey

Assembly= 710 machine-hours, * $ 14.78= $10493.8

Processing=42 orders, *$ 51.25= $ 2152.5

Inspection= 12 inspection-hours*$ 73.6 = $ 883.2

Total Overhead Costs of 450 Hockey = $ 13529.5

Overhead Cost of One Hockey= 13529.5/450= 30.065=  $ 30.07

Then the:

Product Cost

Direct materials cost is $36.42 per hockey stick

Direct labor cost is $30.16 per hockey stick

Overhead Costs is $ 30.07

Total Unit Cost=  $ 96.65

You might be interested in
Which of the following types of insurance do businesses frequently offer as part
aev [14]

Answer:

i think is B correct me if i wrong

8 0
3 years ago
Read 2 more answers
Thad Joslin was judged at fault in an automobile accident. Three others were awarded damages of $147,000, $79,000, and $74,000.
OverLord2011 [107]

Answer:

The amount that would not be covered by Thad Joslin insurance is $50,000

Explanation:

Thad has a 100/300 bodily injury liability coverage, this implies that he has a coverage of $100,000 bodily injury liability insurance per person and $300,000 total bodily injury liability insurance per accident. However, his insurance policy does not make provision for or cover the $50,000 property damage liability per accident. Therefore, Thad Joslin would have to pay for it.

8 0
3 years ago
1. Discuss the following statement: "Corporations are not really run by their owners."
sergij07 [2.7K]
<span><span>1. </span>Discuss the following statement: "Corporations are not really run by their owners." Corporations are run by everyone who works for the corporation and without everyone working together, it will not run smoothly and bring in revenue.
</span> <span>
2. Why might an investor choose to become a partner in a limited partnership instead of purchasing the stock of an open corporation? If an investor decided to join in a limited partnership instead of purchasing the stock on an open corporation they would have less to do with the business side as they would in an open corporation. When an investor joins in a limited partnership they have less management responsibility and little to no liability besides their initial investment.
</span> <span>
3. Is growth a good thing for all firms? How does management know when a firm is ready to grow? Growth is not a good thing for all firms. Depending on what a company is looking to achieve long term, the financial assets they have now to achieve their growth and other goals are all subject to what the company is able to do with the finances and staffing they have. When a corporation is trying to decide whether or not they should grow, management will examine all aspects of the company to make sure they align with the growth plan.
</span> <span>

4. If you were to start a business, which ownership form would you choose? What factors might affect your choice? If I were to start a business, I would probably choose a limited liability company (LLC) as the ownership form and structure. An LLC is where the members within the company are not held personally liable for the company’s debts or liabilities. Think ownership form works well if you were to join forces an open up a business with a friend or family member. An LLC keeps the tax side of the business easier as allowing the individuals to be self-proprietors. When considering factors that may change this decision they would include: who I am going in business with, what I am in business for, my end goals, current goals and current financial status. </span>
3 0
3 years ago
The Acme Aircraft Seat Company produces aircraft seats and is able to assemble 2 seats in 30 minutes using four workers. The sin
Varvara68 [4.7K]

Answer:

The single-factor productivity of the firm is 1 seat per labor hour.

Explanation:

The Single-factor productivity means the output when a unit of input is used. It is used to identify how many resources are used to produce a unit output.

The Acme Aircraft produce 1 aircraft seat per labor hour.

The single-factor productivity is calculated by formula :

Output/Input

No.  of  seats  produced / ( No. of workers * Hours worked  )                    

   

Single Factor Productivity =  2 Seats / 4 workers * 0.5 (30/60) hours

5 0
3 years ago
A piece rate worker is paid
OleMash [197]

Answer:

nothin

Explanation:

They don't work hard enough

oh no

our table

it's broken!!!!!!

7 0
2 years ago
Other questions:
  • Yvette, a manager, decides to offer her support to Jonny, one of her subordinates, on a new project in exchange for a share of t
    7·1 answer
  • Greg benefited from his experience working for an established private company that provided innovative lighting for large music
    5·1 answer
  • Craig graduated from college and got his first job. He rented an apartment and purchased new furniture, appliances, and a televi
    8·1 answer
  • What was a result of the Mexican-American War
    14·2 answers
  • Abby's Designer Wear is a large boutique of designer clothes. Over the past year, the business slowed down, and the boutique sta
    9·1 answer
  • All of the related jobs you do during your life are called your
    12·1 answer
  • 1.4. Explain the role of financial markets in the economy.​
    6·1 answer
  • In what way would the climate in the shaded area impact that region of South America?
    5·2 answers
  • EXERCISES
    11·1 answer
  • Investor A has an initial wealth of $100 and a utility function of the form: U(w) = log(w) where w is her wealth at any time. In
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!