Tron Company manufactures electric ovens which use two overhead activities, with the following expected costs and activity driver quantity information: Setting up equipment. Machining Direct materials Direct labour Tron Company received an order from a customer that has the following production requirements: Set-up hours Machine hours $4,000 $32,000 $28,360 $24,000 $4,360 $13,400 $10,600 80 set-up hours 800 machine hours 12 94 Calculate the total cost for this order using activity-based costing.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Tron Company manufactures electric ovens which use two overhead activities, with the following
expected costs and activity driver quantity information:
Setting up equipment
Machining
Direct materials
Direct labour
Set-up hours
Machine hours
Tron Company received an order from a customer that has the following production
requirements:
O $28,360
$24,000
$4,000
$32,000
$4,360
Calculate the total cost for this order using activity-based costing.
O None of the choices.
$13,400
$10,600
80 set-up hours
800 machine hours
12
94
Transcribed Image Text:Tron Company manufactures electric ovens which use two overhead activities, with the following expected costs and activity driver quantity information: Setting up equipment Machining Direct materials Direct labour Set-up hours Machine hours Tron Company received an order from a customer that has the following production requirements: O $28,360 $24,000 $4,000 $32,000 $4,360 Calculate the total cost for this order using activity-based costing. O None of the choices. $13,400 $10,600 80 set-up hours 800 machine hours 12 94
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