Cost Allocation :Activity Based Costing
Not what you're looking for?
25-1
Spacely Company's Fabrication Department incurred $125,000 of factory overhead cost in producing gears and sprockets. The two products consumed a total od 4,000 direct machine hours. Of that amount, sprockets consumed 1,800 direct machine hours.
Determine the total amount of factory overhead that should be allocated to sprockets.
25-9
Net Gift Registry Inc. sells china and flatware over the Internet. For the next period, the budgeted cost of the sales order processing activity is $99,400 and $14,200 sales orders are estimated to be processed.
a. Determine the activity rate of the sales order processing activity.
b. Determine the amount of sales order processing cost that china would receive if it had 6,500 sales orders.
Purchase this Solution
Solution Summary
The solution contains calculations of the activity rate of the sales order processing activity and the amount of sales order processing cost that china would receive if it had 6,500 sales orders.
Solution Preview
Please see the attached file.
25-1
Spacely Company's Fabrication Department incurred $125,000 of factory overhead cost in producing gears and sprockets. The two products consumed a total od 4,000 direct machine hours. Of that amount, sprockets consumed 1,800 direct machine hours.
Determine the total amount of factory overhead that should be ...
Purchase this Solution
Free BrainMass Quizzes
Understanding the Accounting Equation
These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.
Business Processes
This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.
Cost Concepts: Analyzing Costs in Managerial Accounting
This quiz gives students the opportunity to assess their knowledge of cost concepts used in managerial accounting such as opportunity costs, marginal costs, relevant costs and the benefits and relationships that derive from them.
Marketing Research and Forecasting
The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.
Organizational Leadership Quiz
This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.