ActivityBudgeted Activity CostProductionSetupInspectionShippingCustomer ServiceTotal$532,500188,500122,200112,00033,600$988,800The activity bases identified for each activity are as follows:ActivityActivity BaseProductionMachine hoursSetupNumber...

90.2K

Verified Solution

Question

Accounting

ActivityBudgeted Activity CostProductionSetupInspectionShippingCustomer ServiceTotal$532,500188,500122,200112,00033,600$988,800The activity bases identified for each activity are as follows:ActivityActivity BaseProductionMachine hoursSetupNumber of setupsInspectionNumber of inspectionsShippingNumber of customer ordersCustomer Service Number of customer service requestsThe activity-base usage quantities and units produced for the three products were determined from corporate records and are as folloMachineHoursNumber ofSetupsNumber ofInspectionsNumber of Customer Customer ServiceOrdersRequestsUnitsWhite sugar3,120130260800307,800Brown sugar1,9901903902,2001904,975Powdered sugar1,9901806501,000804,975Total7,1005001,3004,00030017,750Each product requires 0.9 machine hour per unit.Required:If required, round all per unit amounts to the nearest cent.1. Determine the activity rate for each activity.Production75per machine hourSetup$377per setupInspection$94per inspection hourShipping$28per cust. ord.Customer service112per customer service request2. Determine the total and per-unit activity cost for all three products.Total Activity CostActivity Cost Per UnitWhite sugar$333,210Brown sugar340,420Powdered sugar315,170

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students