Product Costs using Activity Rates Hercules Inc. manufactures elliptical exercise machines and treadmills. The products are...

Product Costs using Activity Rates

Hercules Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows:

ActivityActivity Rate

Fabrication$20per machine hour

Assembly$10per direct labor hour

Setup$50per setup

Inspecting$23per inspection

Production scheduling$11per production order

Purchasing$8per purchase order

The activity-base usage quantities and units produced for each product were as follows:

Activity BaseElliptical MachinesTreadmill

Machine hours1,756 1,036

Direct labor hours416 162

Setups61 19

Inspections608 365

Production orders77 15

Purchase orders201 123

Units produced306 205

Use the activity rate and usage information to determine the total activity cost and activity cost per unit for each product. If required, round the per unit answers to the nearest cent.

Total Activity CostActivity Cost Per Unit

Elliptical Machines$$

Treadmill$$

Solutions

Expert Solution

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Product Costs using Activity Rates Hercules Inc. manufactures elliptical exercise machines and treadmills. The products are...

Product Costs using Activity Rates Hercules Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $27 per machine hour Assembly $9 per direct labor hour Setup $58 per setup Inspecting $20 per inspection Production scheduling $10 per production order Purchasing $7 per...

Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products...

Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $23 per machine hour Assembly $13 per direct labor hour Setup $58 per setup Inspecting $24 per inspection Production scheduling $14 per production order Purchasing $11...

Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products...

Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $25 per machine hour Assembly $15 per direct labor hour Setup $51 per setup Inspecting $26 per inspection Production scheduling $16 per production order Purchasing $13...

Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products...

Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $21 per machine hour Assembly $9 per direct labor hour Setup $52 per setup Inspecting $20 per inspection Production scheduling $10 per production order Purchasing $7...

A. Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The...

A. Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $22 per machine hour Assembly $8 per direct labor hour Setup $49 per setup Inspecting $29 per inspection Production scheduling $9 per production order Purchasing...

eBook Calculator Print Item Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines...

eBook Calculator Print Item Product Costs using Activity Rates Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $30 per machine hour Assembly $12 per direct labor hour Setup $49 per setup Inspecting $27 per inspection Production scheduling $13 per...

ercules Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and...

ercules Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $34 per machine hour Assembly $34 per direct labor hour Setup $91 per setup Inspecting $20 per inspection Production scheduling $19 per production order Purchasing $10 per purchase order The activity-base usage...

Endurance Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication...

Endurance Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $25 per machine hour Assembly $14 per direct labor hour Setup $47 per setup Inspecting $23 per inspection Production scheduling $12 per production order Purchasing $11 per purchase order The activity-base...

Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication...

Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $27 per machine hour Assembly $9 per direct labor hour Setup $45 per setup Inspecting $23 per inspection Production scheduling $10 per production order Purchasing $7 per purchase order The activity-base...

Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication...

Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $22 per machine hour Assembly $17 per direct labor hour Setup $53 per setup Inspecting $31 per inspection Production scheduling $18 per production order Purchasing $15 per purchase order The activity-base...

Subjects