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viva [34]
3 years ago
8

Hane Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products: Activit

y Cost Pool Activity Rate Assembling products $ 8.90 per assembly hour Processing customer orders $ 31.23 per customer order Setting up batches $ 43.72 per batch Data for one of the company's products follow: Product U94W Number of assembly hours 389 Number of customer orders 53 Number of batches 61 How much overhead cost would be assigned to Product U94W using the activity-based costing system
Business
1 answer:
dezoksy [38]3 years ago
6 0

Answer:

Total allocated costs= $7,784.21

Explanation:

<u>To allocate overhead to Product U94W, we need to use the following formula:</u>

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Assembling products=  8.90*389= $3,462.1

Processing customer orders= 31.23*53= $1,655.19

Setting up batches= 43.72*61= $2,666.92

Total allocated costs= $7,784.21

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Sam's Pizzeria International Inc. operates and franchises pizza delivery and carryout restaurants worldwide. The following is an
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The Adjusted trial balance is

Explanation:                                                 Amount in $

                                                               Dr.                           Cr.

Accounts Payable                                                           38,882

Intangible Assets                                 82,031

Accounts Receivable                           56,057

Interest Expense                                     4,089  

Accrued Expense Payable                                               58,333

Interest Revenue                                                                    732

Accumulated Deprecation                                               337,564

Inventories                                              27,410

Capital                                                                                  48,012

Land                                                         32,890

Advertising Expense                              63,473

Long Term Debt                                                                 230,561

Buildings & Leasehold                            203,651

Long Term Note Receivable                     12,821

Cash                                                            20,142

Other Assets                                              42,540

Common Stock                                                                      483

Other Long Term Liabilities                                                64,213      

Capital & Retained Earning                                                418,279

Prepaid and Other Current assets        36,838

Depreciation Expense                           39,995

Rent and Utilities Expense                    215,720  

Equipment                                              320,520        

Total                                                     <u>1,158,177 </u>                   <u>1,158,177</u>

<u>Note: </u>In absence of sales revenue, other expenses and paid up capital data which is missing in question, the capital and retained earnings are taken as balancing figure                                                                                

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