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kompoz [17]
3 years ago
11

Trailers R Us​ Company, which uses an activitybased costing​ system, produces travel trailers and boat trailers. The company all

ocates batch setup costs to the two products using the following basic​ data: Travel trailers Boat trailers Budgeted units to be produced ​2,050 ​3,200 Budgeted number of setups 320 520 Budgeted number of direct labor hours per unit 40 80 Total budgeted setup costs for the year are​ $155,400. If the setup costs are allocated using number of​ setups, how much of the total setup costs would be allocated to boat​ trailers?
Business
1 answer:
AleksAgata [21]3 years ago
8 0

Answer:

Boat trailers= $96,200

Explanation:

Giving the following information:

Travel trailers Boat trailers:

Budgeted units to be produced ​2,050 ​3,200

Budgeted number of setups 320 520 = 840

Total budgeted setup costs for the year are​ $155,400.

<u>First, we need to calculate the predetermined activity rate:</u>

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Setup= 155,400/840= $185 per setup

<u>Now, we can allocate costs to boat trailers:</u>

Boat trailers= 185*520= $96,200

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Answer:

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Explanation:

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Since the denominator is the same (6), we are just going to create a proper fraction out of these mixed fractions by multiplying the denominator with the whole number and adding the numerator. Then, the result becomes the new numerator, while the denominator remains the same.

Therefore, we have:

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<u>b. False</u>

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For example, we are told that there is "low paying wages in Belize," which means low worker welfare, thus, even if no labor laws were been broken in his country, Olivia has a social responsibility to pay fair prices for the necklaces and earrings.

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in a period of rising prices, the inventory method which tends to give the highest cost of goods sold value is
aliya0001 [1]

Answer:

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Explanation:

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FIFO can be defined as an accounting methods used in managing costs related to inventory, stock repurchases at different times and financial activities associated with monetary costs a company had tied up within inventory of feedstocks, raw materials, produced goods, and equipment parts.

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Answer:

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