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trapecia [35]
3 years ago
13

Larner Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the f

ollowing six activity cost pools and activity rates:
Activity Cost Pool Activity Rates
Supporting direct labor $6 per direct labor
Machine processing $2 per machine - hour
Machine setups $45 per setup
Production orders $160 per order
Shipments $115 per shipment
Product sustaining $775 per product

Activity data have been supplied for the following two products:

Total Expected Activity

J78 W52
Direct labor hours 1,000 30
Machine hours 2,600 20
Machine setups 19 3
Production orders 19 3
Shipments 38 3
Product sustaining 3 3

Required:
Determine the total overhead cost that would be assigned to each of the products.
Business
1 answer:
poizon [28]3 years ago
5 0

Answer:

Larner Corporation

                                         J78           W52

Total overhead cost    $21,790    $3,505

Explanation:

a) Data and Calculations:

Activity Cost Pool             Activity Rates

Supporting direct labor    $6 per direct labor

Machine processing         $2 per machine - hour

Machine setups                $45 per setup

Production orders            $160 per order

Shipments                        $115 per shipment

Product sustaining          $775 per product

Total Expected Activity

                                      J78     W52

Direct labor hours       1,000      30

Machine hours           2,600      20

Machine setups               19         3

Production orders           19         3

Shipments                      38          3

Product sustaining          3           3

Overhead cost                 Activity rates                     J78           W52

Supporting direct labor    $6 per direct labor         $6,000      $180

Machine processing         $2 per machine - hour    5,200          40

Machine setups                $45 per setup                     855         135

Production orders            $160 per order                 3,040        480

Shipments                        $115 per shipment            4,370        345

Product sustaining          $775 per product             2,325    2,325

Total overhead cost                                              $21,790  $3,505

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Answer:

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Explanation:

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7 0
3 years ago
select all of the following that are companies that paid dividends for 100 consecutive years. a. bp b. stanley works c. corning
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<h3>What is dividend?</h3>

Dividend can be defined as the money a company or an organization paid yearly to their shareholders and the money the company paid to their shareholders are  from the profit they make or generated.

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7 0
1 year ago
On November 1, Eli Co. received a $6,000, 60-day, 6% note from a customer as payment on his $6,000 account. Eli's journal entry
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Answer:

                                 Dr.          Cr.

Note Receivable   $6,000

Account Receivable            $6,000

Explanation:

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4 0
3 years ago
You are the General Manager of a regional chemical company. In the course of producing your bulk chemicals, large amount of part
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3 years ago
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<u>Answer:</u>

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Hence, Larry simply needs to file his 2020 tax return, including the EIP on Form 1040, line 30, and wait for the IRS to fix the mistake.

4 0
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