Boswell Company manufactures two products, Regular and Supreme. Boswell's overhead costs consist of machining, $2400000; and assembling, $1200000. Information on the two products is: Direct labor hours Machine hours Number of parts Regular Supreme 10000 15000 10000 30000 90000 160000 Overhead applied to Regular using activity-based costing is $2568000 $1440000. $2160000. $1032000.

Kunkel Company makes two products and uses a conventional costing system in which a single plantwide predetermined overhead rate is computed based on direct labor - hours. Data for the two products for the upcoming year follow: Mercon Wurcon Direct materials cost per unit $ 12.00 $ 9.00 Direct labor cost per unit $ 15.00 $ 17.00 Direct labor - hours per unit 0.50 3.25 Number of units produced 2,000 4,000 These products are customized to some degree for specific customers. Required: 1. The company's manufacturing overhead costs for the year are expected to be $560,000. Using the company's conventional costing system, compute the unit product costs for the two products. 2. Management is considering an activity - based costing system in which half of the overhead would continue to be allocated on the basis of direct labor - hours and half would be allocated on the basis of engineering design time. This time is expected to be distributed as follows during the upcoming year: Mercon Wurcon…

Beerfield Company manufactures product M in its factory. Production of M requires 2 pounds of material P, costing $10 per pound and 0.5 hour of direct labor costing, $16 per hour. The variable overhead rate is $14 per direct labor hour, and the fixed overhead rate is $18 per direct labor hour. What is the standard product cost for product M? Direct material     Answer   Direct labor     Answer   Variable overhead     Answer   Fixed overhead     Answer   Standard product cost per unit     Answer

XYZ Co. produces two different products (Product Y and Product Z) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The cost of Machining is $500,000, while the cost of Inspection is $30,000. Product Y uses 20% of total machine hours and 75% of total batches. What is the total Machining cost assigned to Product Z? O a. $7,500 O b. None of the given answer is correct. Oc. $22,500 О с. O d. $400,000 O e. $375,000

One of Concord Company's activity cost pools is machine setups with estimated overhead of $220000. Concord produces sparklers (320 setups) and lighters (680 setups). How much of the machine setup cost pool should be assigned to sparklers? $220000 $70400 O $110000 O $149600

The All Ball Company manufactures three products (tennis balls, soccer balls and basket balls). The overhead costs of R180000 have been divided into three cost pools as follows: Ordering: R90000 Labour: R50000 Dispatch: R40000 The activity cost drivers and annual usage have been identified as:                Product A Product B Product C No. of labour hours 500 2 000 1 000 No. of machine hours 700 1 000 3 000 No. of orders placed 15 10 25 No. of dispatches 35 15 20 The allocation rate per order using an ABC system is:   a. R1800.00 b. R1285.71 c. R6000.00 d. R1000.00 e. R3600.00

Maxey & Sons manufactures two types of storage cabinets—Type A and Type B—and applies manufacturing overhead to all units at the rate of $120 per machine hour. Production information follows.       Type A    Type BAnticipated volume (units)         24,000              45,000     Direct-material cost per unit    $    28         $    42     Direct-labor cost per unit         33              33      The controller, who is studying the use of activity-based costing, has determined that the firm’s overhead can be identified with three activities: manufacturing setups, machine processing, and product shipping. Data on the number of setups, machine hours, and outgoing shipments, which are the activities’ three respective cost drivers, follow.       Type A    Type B    TotalSetups         140              100              240     Machine hours         48,000              67,500              115,500     Outgoing shipments         200              150              350      The firm’s total…

Aileen Co manufactures two components, L and M. Both components are manufactured on the machine ZX. The following cost information per unit of L and M is available: Direct material Direct labour Variable overhead Fixed overhead Total cost L M ($) ($) 12 18 25 15 8 7 6 46 10 55 Component L requires three hours on machine ZX and component M requires five hours. Manufacturing requirements show a need for 1,500 units of each component per week. The maximum number of machine ZX hours available per week is 10,000. An external supplier has offered to supply Aileen Co with the components for a price of $57 per component L and $55 per component M. Identify, by clicking on the relevant boxes in the table below, whether each of the following statements are true or false. would be cheaper for Aileen Co to produce all the components in-house if the hours on machine ZX were available Aileen Co should purchase 400 units of component M from the external supplier TRUE TRUE FALSE FALSE

Marites Company employs standard absorption system for product costing. The standard cost of this product is as follows: Raw Materials - P14.50; Direct Labor for 2 hours @ P8/hr is P16; Manufacturing overhead for 2 hours @ P11/hr is P22. The total cost per unit (14.50+16+22) = P52.50. The manufacturing overhead rate is based upon normal annual activity level of 600,000 direct labor hours. The company planned to produce 25,000 units each month during 2020. Budgeted factory overhead for 2020is composed of P3,600,000 variable and P3,000,000 fixed. During April 2021, 26,000 units of product were produced using 53,500 direct labor hours at a cost of P433,350. Actual manufacturing overhead for the month was P260,000 fixed and P315,000 variable. The total manufacturing overhead applied during Apirl was P572,000. The variable overhead spending variance must be: