b My Questions | bartlebyPoF ACCT3039-Unit 4.pdfO Unit 4 -Discussion Question 303 x+PDFA marlFile | C:/Users/Ronnick%20Douglas/OneDrive/Desktop/Advanced%20Manage....Activity-Based Costing, Traditional Costing1. The controller for Mitchell Supply Company has established the following overhead costpools and cost drivers:Overhead Cost PoolMachine setupsMaterial handlingQuality control inspectionOther overhead costsTotalBudgetedOverhead Cost$150,00052,50037,50090.000$330.000Cost DriverNumber of setupsUnits of raw materialNumber of inspectionsMachine hoursOverhead Cost PoolMachine setupsMaterial handlingQuality controlOther overheadBudgeted Levelfor Cost Driver100'setups50,000 units1,000 inspections15,000 machine hoursOverhead Rate$1,500 per setup$1.05 per unit$37.50 per inspection$6 per machine hourOrder no. 610 has the following production requirements:Machine setupsRaw materialInspectionsMachine hours5 setups10,000 units12 inspections600 machine hoursRequired:A. Compute the total overhead that should be assigned to order no. 610 by usingactivity-based costing.B. Suppose that Mitchell were to use a single, predetermined overhead rate based onmachine hours. Compute the rate per hour and the total overhead assigned to order no.610.C. Discuss the merits of an activity-based costing system in comparison with a traditionalcosting system.7:26 pmNO GENGP Type here to search25°CUK19/02/2022

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Description: b My Questions | bartlebyPoF ACCT3039-Unit 4.pdfO Unit 4 -Discussion Question 303 x+PDFA marlFile | C:/Users/Ronnick%20Douglas/OneDrive/Desktop/Advanced%20Manage....Activity-Based Costing, Traditional Costing1. The controller for Mitchell Supply Com

Activity based costing is one of the type of costing system, which shows that all indirect costs and…

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Activity-Based Costing, Traditional Costing 1. The controller for Mitchell Supply Company has established the following overhead cost pools and cost drivers: Overhead Cost Pool Machine setups Material handling Quality control inspection Other overhead costs Total Budgeted Overhead Cost $150,000 52,500 37,500 90.000 $330.000 Cost Driver Number of setups Units of raw material Number of inspections Machine hours Overhead Cost Pool Machine setups Material handling Quality control Other overhead Budgeted Level for Cost Driver 100'setups 50,000 units 1,00 inspections 15,000 machine hours Overhead Rate $1,500 per setup $1.05 per unit $37.50 per inspection $6 per machine hour Order no. 610 has the following production requirements: Machine setups Raw material Inspections Machine hours 5 setups 10,000 units 12 inspections 600 machine hours Required: A. Compute the totál overhead that should be assigned to order no. 610 by using activity-based costing. B. Suppose that Mitchell were to use a single, predetermined overhead rate based on machine hours. Compute the rate per hour and the total overhead assigned to order no. 610. C. Discuss the merits of an activity-based costing system in comparison with a traditional costing system.

Activity-Based Costing, Traditional Costing 1. The controller for Mitchell Supply Company has established the following overhead cost pools and cost drivers: Overhead Cost Pool Machine setups Material handling Quality control inspection Other overhead costs Total Budgeted Overhead Cost $150,000 52,500 37,500 90.000 $330.000 Cost Driver Number of setups Units of raw material Number of inspections Machine hours Overhead Cost Pool Machine setups Material handling Quality control Other overhead Budgeted Level for Cost Driver 100'setups 50,000 units 1,00 inspections 15,000 machine hours Overhead Rate $1,500 per setup $1.05 per unit $37.50 per inspection $6 per machine hour Order no. 610 has the following production requirements: Machine setups Raw material Inspections Machine hours 5 setups 10,000 units 12 inspections 600 machine hours Required: A. Compute the totál overhead that should be assigned to order no. 610 by using activity-based costing. B. Suppose that Mitchell were to use a single, predetermined overhead rate based on machine hours. Compute the rate per hour and the total overhead assigned to order no. 610. C. Discuss the merits of an activity-based costing system in comparison with a traditional costing system.

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter4: Accounting For Factory Overhead

Section: Chapter Questions

Problem 4P: Using the data in P4-2 and Microsoft Excel: 1. Separate the variable and fixed elements. 2....

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docs.google.com/forms/d/e Q 1/ Answer The Following Questions * :Cost objects include .1 products customers departments All of above answers are correct. The general term used to identify both .2 the tracing and the allocation of * :accumulated costs to a cost object is cost accumulation cost assignment cost tracing conversion costing :Budgeted costs are .3 II
An allocation base: a. can be units of output if the company has a single product O b. is determined before the period begins. O c. All the given answers are correct. O d. can be direct labor cost e. is a measure used to assign manufacturing overhead costs to products and services PAGE NEXT PAGE IZ TWO Jump CQURSE OUTLINE_SPRING2021 ► tv MacBook Air
File Edit View History Bookmarks Window Help System (Academic) A elearn.squ.edu.om erial Accounting || fall20 Which one of the following is correct about variable costing systems? Select one: 1 a. Normally result into a lower product cost compared to absorption costing systems b. Calculate product cost as the sum of directs materials, direct labor, manufacturing overhead costs, and selling cost c. Calculate product cost as the sum of directs materials, direct labor and manufacturing overhead costs d. Focuses on both variable and fixed costs.
nline Services v OS Ticket system My Dispense Academic Calendar My courses Activity-based costing (ABC) LO#5 Activity-based costing (ABC) is a costing model that identifies activities in an organization and assigns the cost of each activity resource to all products and services according to the actual consumption by each: it assigns more indirect costs (overhead) into direct costs. In this way an organization can precisely estimate the cost of its individual products and services for the purposes of identifying and eliminating those which are unprofitable and lowering the prices of those which are overpriced. In a business organization, the ABC methodology assigns an organization's resource costs through activities to the products and services provided to its customers. It is generally used as a tool for understanding product and customer cost and profitability. As such, ABC has predominantly been used to support strategic decisions such as pricing, outsourcing and identification and…
ivity Based Costing Assignment i nces s://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https... Al A" ☆ aw 71 N F2 Ly Homework: Activity Based Costin X Required information [The following information applies to the questions displayed below.] # 3 Part Z Part X Totals E Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $265,000 in the Molding department and $225,000 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Number of Units 3,000 4,000 F3 Complete this question by entering your answers in the tabs below. R F4 Q Search % Molding Department Hours per Unit 2.0 MH per unit 2.5 MH per unit Required: 1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental ove rate for the Trimming…
Explain the Activity-Based Costing (ABC Costing) & Absorption Costingwith methemeatical example in accounting 900 words
QUESTION 9 Put the following steps in an Activity-Based-Costing system in the proper order. v Calculate a predetermined overhead rate. Identify a logical cost driver as an allocation base for each cost pool. Allocate the costs to the cost object by multiplying the predetermined overhead rate by the actual amount of the cost driver used by the cost object. v Separate total overhead into cost pools.
Refer to the following notes given in images. Part 2: Key Components of Activity-Based Costing Explain the concept of cost drivers and cost pools in ABC. Provide examples of common cost drivers and cost pools. Answr both parts full explanation. Don't copy from other websites no plagiarism. %$@!++×1144567890]](*&^%%$##==/__>
AI - E H E If Border Corporation uses direct labor hours in a traditional costing system to assign overhead - Saved - AutoSave Off Normal badiya aldujaili BA EN File Home Insert Draw Design Layout References Mailings Review View Help A Share O Comments X Cut Calibri (Body) v 11 - A^ A° Aav A E - E - E E E O Find - AaBbCcDc AaBbCcDc AaBbC AABBCCC AaB A BBCCC AaBbCcDa A Copy Paste S Replace В IUvab х, х* А I Normal 1 No Spac.. Heading 1 Heading 2 Title Subtitle Subtle Em.. A Select v Dictate Editor Format Painter Clipboard Font Paragraph Styles Editing Voice Editor 1.. | 1''' I 2 4 7 Use the following information to answer questions the next two questions: Border Corporation identified the following activities related to annual expected overhead costs at the beginning of 2018. Expected Overhead Activity Moving Materials Inspections Ordering Maintenance Expected Quantity 500 Expected Cost $ 16,000 $ 22,400 $ 13,900 $ 161,200 Expected Activity Driver Number of moves Number of inspection…
Caseys Kitchens three cost pools and overhead estimates are as follows: Compare the overhead allocation using: A. The traditional allocation method B. The activity based costing method (Hint: the traditional method uses machine hours as the allocation base.)
Using the data in P4-2 and Microsoft Excel: 1. Separate the variable and fixed elements. 2. Determine the cost to be charged to the product for the year. 3. Determine the cost to be charged to factory overhead for the year. 4. Determine the plotted data points using Chart Wizard. 5. Determine R2. 6. How do these solutions compare to the solutions in P4-2 and P4-3? 7. What does R2 tell you about this cost model?
Carltons Kitchens three cost pools and overhead estimates are as follows: Compare the overhead allocation using: A. The traditional allocation method B. The activity-based costing method (Hint: the traditional method uses machine hours as the allocation base.)