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Tristar Manufacturing produces two types of battery-operated toy soldiers: infantry and special forces. The soldiers are...

Tristar Manufacturing produces two types of battery-operated toy soldiers: infantry and special forces. The soldiers are produced by using one continuous process. Four activities have been identified: machining, setups, receiving, and packing. Resource drivers have been used to assign costs to each activity. The overhead activities, their costs, and the other related data are as follows:

Product Machine Hours Setups Receiving Orders Packing Orders
Infantry 19,000 330 810 1,680
Special Forces 19,000 110 90 840
Costs $68,400 $26,664 $16,020 $30,744

1. Calculate the total overhead assigned to each product by using only machine hours to calculate a plantwide rate. (Round overhead rate answer to two decimal places and other answers to the nearest dollar.)

The overhead rate is  per machine hour.

The total overhead assigned to the infantry product is .

The total overhead assigned to the Special Forces product is .

2. Calculate consumption ratios for each activity. (Round your answers to two decimal places.)

Consumption Ratios
Overhead Activity Infantry Special Forces
Machining
Setups
Receiving
Packing

3. Calculate a rate for each activity by using the associated driver.

Machining: per machine hour
Setups: per setup
Receiving: per receiving order
Packing: per packing order

4. Assign the overhead costs to each product by using the activity rates computed in Requirement 3.

Tristar Manufacturing

Overhead Assignment

1

Infantry

Special Forces

2

Machining

3

Setups

4

Receiving

5

Packing

6

Total

Solutions

Expert Solution

ekkarill92 answered 2 years ago
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