Question

In: Accounting

Jung Company uses activity-based costing. It makes two products, X and Y. The company's overhead costs...

Jung Company uses activity-based costing. It makes two products, X and Y. The company's overhead costs are traced to two activity cost pools. The following data are given: Activity cost pool Activity measure Estimated Overhead Cost Activity For X For Y Total Design Number of parts $32,000 200 parts 800 parts 1,000 parts Inspection Production units $18,000 2,000 units 1,000 units 3,000 units For the design activity, its activity rate (predetermined overhead rate) is:

Solutions

Expert Solution

Note

If you have any queries kindly post a comment, i will solve it earliest.

If you satisfied with my answer, kindly give a thumbs up, it will help to encourage me.


Related Solutions

4) X Company makes two products, A and B, and uses an activity-based costing overhead allocation...
4) X Company makes two products, A and B, and uses an activity-based costing overhead allocation system, with three cost pools and three cost drivers. Budgeted costs and driver information for 2017 were as follows: Cost Pool 1 Cost Pool 2 Cost Pool 3 Budgeted costs $113,000 $53,000 $31,000 Cost Drivers Product A 84,000 62,000 75,000 Product B 63,000 54,000 47,000 What was the allocation to Product B in 2017?
Environmental costs, activity-based costing Bevans Co. makes two products, Product X, and Product Y. Bevans has...
Environmental costs, activity-based costing Bevans Co. makes two products, Product X, and Product Y. Bevans has produced Product X for many years without generating any hazardous wastes. Recently, Bevans developed Product Y, which is superior to Product X in many respects. However, production of Product Y generates hazardous wastes. Because of the hazardous wastes, Bevans now must deal with hazardous waste disposal, governmental environmental reports and inspections, and safe handling procedures. Bevans Co. uses an indirect cost rate based on...
Lysiak Corporation uses an activity based costing system to assign overhead costs to products. In the...
Lysiak Corporation uses an activity based costing system to assign overhead costs to products. In the first stage, two overhead costs--equipment depreciation and supervisory expense-are allocated to three activity cost pools--Machining, Order Filling, and Other--based on resource consumption. Data to perform these allocations appear below: Overhead costs: Equipment depreciation $ 47,000 Supervisory expense $ 6,000 Distribution of Resource Consumption Across Activity Cost Pools: Activity Cost Pools Machining Order Filling Other Equipment depreciation 0.60 0.10 0.30 Supervisory expense 0.60 0.20 0.20...
Wedd Corporation uses activity-based costing to assign overhead costs to products. Overhead costs have already been...
Wedd Corporation uses activity-based costing to assign overhead costs to products. Overhead costs have already been allocated to the company's three activity cost pools as follows: Processing, $46,700; Supervising, $33,600; and Other, $24,200. Processing costs are assigned to products using machine-hours (MHs) and Supervising costs are assigned to products using the number of batches. The costs in the Other activity cost pool are not assigned to products. Activity data appear below: MHs (Processing) Batches (Supervising) Product O6 18,400 1,250 Product...
Umanzor Corporation uses activity-based costing to assign overhead costs to products. Overhead costs have already been...
Umanzor Corporation uses activity-based costing to assign overhead costs to products. Overhead costs have already been allocated to the company's three activity cost pools as follows: Processing, $50,500; Supervising, $28,600; and Other, $24,700. Processing costs are assigned to products using machine-hours (MHs) and Supervising costs are assigned to products using the number of batches. The costs in the Other activity cost pool are not assigned to products. Activity data appear below: MHs (Processing) Batches (supervising)   Product S5 10,900             1,420               Product...
ECO Plc Ltd. uses an activity based costing system to assign overhead costs to products. In...
ECO Plc Ltd. uses an activity based costing system to assign overhead costs to products. In the first stage, two overhead costs - Electricity expense and Water expense - are allocated to three activity cost pools - Grinding, Painting, and Other - based on resource consumption. Data to perform these allocations appear below: Overhead Costs: Electricity expense: $195,000 Water expense: $185,000 Distribution of Resource Consumption across Activity Cost Pools: Overhead Cost Activity Cost Pools Grinding Painting Other Electricity expense 0.40...
A company uses activity-based costing to determine the costs of its three products: A, B, and...
A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table: Budgeted Activity Activity Cost Pool Budgeted Cost Product A Product B Product C Activity 1 $ 85,000 7,500 10,500 21,500 Activity 2 $ 60,000 8,500 16,500 9,500 Activity 3 $ 112,000 4,000 2,500 3,125 How much overhead will be assigned to Product B...
A company uses activity-based costing to determine the costs of its three products: A, B, and...
A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table: A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table: Budgeted Activity Activity Cost Pool Budgeted...
A company uses activity-based costing to determine the costs of its three products: A, B, and...
A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table: Budgeted Activity Activity Cost Pool Budgeted Cost Product A Product B Product C Activity 1 $ 75,000 6,500 9,500 20,500 Activity 2 $ 50,000 7,500 15,500 8,500 Activity 3 $ 92,000 3,000 1,500 2,125 How much overhead will be assigned to Product B...
Jennifer Company has two products: A and B. The company uses activity-based costing
Jennifer Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows: The activity rate under the activity based costing system for Supporting customers is closest to:
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT