13. HHWW Company produces two types of products: A and B. Both are produced on the same assembly line but are considered separate divisions. The company wants to know how to allocate manufacturing overhead to the products. The relevant data for the possible allocation bases are given below A B P25,000 35,000 P145,000 15,000 30,000 Materials used P40,000 20,000 P100,000 6,000 25,000 Direct labor hours Direct labor costs Machine hours Output units The company incurred manufacturing overhead of P48,000. Using direct labor hours, how much overhead will be allocated to the B? a. P29,544 b. P30,545 C P30,455 d. P34,054 14. Using machine hours, how much overhead will be allocated to the A? a. P13,714 C. P17,455 b. P28,500 d. P34,286
13. HHWW Company produces two types of products: A and B. Both are produced on the same assembly line but are considered separate divisions. The company wants to know how to allocate manufacturing overhead to the products. The relevant data for the possible allocation bases are given below A B P25,000 35,000 P145,000 15,000 30,000 Materials used P40,000 20,000 P100,000 6,000 25,000 Direct labor hours Direct labor costs Machine hours Output units The company incurred manufacturing overhead of P48,000. Using direct labor hours, how much overhead will be allocated to the B? a. P29,544 b. P30,545 C P30,455 d. P34,054 14. Using machine hours, how much overhead will be allocated to the A? a. P13,714 C. P17,455 b. P28,500 d. P34,286
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter4: Activity-based Costing
Section: Chapter Questions
Problem 3CE: Lansing. Inc., provided the following data for its two producing departments: Machine hours are used...
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