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alekssr [168]
2 years ago
5

Marigold Company identifies three activities in its manufacturing process: machine setups, machining, and inspections. Estimated

annual overhead cost for each activity is $157,500, $404,800, and $93,600, respectively. The cost driver for each activity and the estimated annual usage are number of setups 2,100, machine hours 25,300, and number of inspections 1,800.
Required:
Compute the overhead rate for each activity.
Business
1 answer:
Ghella [55]2 years ago
6 0

Answer and Explanation:

The computation of the overhead rate for each type of activity is as follows:

Overhead rate is

= Activity activity ÷ Level of activity driver

For machine setup, the Overhead rate is

= $157,500 ÷ 2,100 setup

= $75 per set-up

For machining, the overhead rate is

= $404,800 ÷ 25,300

= $16 per machine hour

For inspection, the overhead rate is

= $93,600 ÷ 1,800

= $52 per inspection

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The options are:

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Mademuasel [1]

Answer:

The correct option is 2

Explanation:

Let us assume the current value of the investment be x

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1. The  investment value has increased or risen by 44% since it was first made

It is known that the combined growth factor of the investment is 1.44 and no information is stated regarding the actual ($) values. Therefore, the unique value could not be computed.

So, this statement lacks information and insufficient to solve for x.

2. 1 year ago, the withdrawn money worth is $600 and at present the worth of the investment would be 12% less than the actual worth.

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Therefore, the unique value to could be answered and the sufficient to answer.

NOTE: The options are missing. So I am providing the answer with the options.

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3 years ago
Read 2 more answers
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