Tidwell Industries has the following overhead costs and cost drivers. Direct labor hours are estimated at 100,000 for the year. The following information is available regarding activity cost pools, cost drivers, total estimated overhead costs, and estimated use of activities per product: Activity Cost Pool Cost Driver Ordering and Receiving Machine Setup Machining Assembly Inspection Orders Setups Machine hours Parts Est. Overhead $ 120,000 297,000 1,500,000 1,200,000 Inspections 300,000 Cost Driver Activity. 500 orders 450 setups 125,000 MH 1,000,000 parts 500 inspections If overhead is applied using traditional costing based on direct labor hours, the overhead application rate is

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Q: What is Gordon model?

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Q: What is Glass-Steagall Act?

A: Glass-Steagall Act splits up the investment and commercial banking segments of an investment bank.

Q: What is a NIC?

A: NIC:  NIC stands for network interface card. NIC is an electronic device that provides circuit to…

Q: Examples of  CIRO and PIRO

A: Example of CIRO: A note book valued at $5 CAD is being transported through courier would be exempt…

Q: Describe the PW method?

A: There are different types of methods for comparing the worthiness of the projects. Some of the tem…

Q: What is ESOP?

A: It is abbreviated as Employee Stock Ownership Plan is defined as a plan that gives the workers a…

Q: Define white knight

A: A white knight is hostile acquisition security by which a 'friendliness' person or business who…

Q: Define the term realization principle.

A: Accounting: Accounting refers to the information system, where the economic activities of a…

Q: What is the dual aspect term

A: solution concept Dual aspect                 Each and every transaction shall be recorded by giving…

Q: What is alpha transfer?

A: The term ‘Alpha’ refers to the active return on investment. In other words, the excess return from…

Q: What is cpj

A: Financial accounting involves the work of recording and posting of financial transactions into the…

Q: What is a cfar?

A: Cash Flow at Risk (CFAR):Cash Flow at Risk is a term which focuses on the risk of receivables and…

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance. 

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.