More info ud ad ic Ordering Delivery and receipt of merchandise Shelf-stocking Customer support and...
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More info ud ad ic Ordering Delivery and receipt of merchandise Shelf-stocking Customer support and assistance $100 per purchase order $80 per delivery $20 per hour $0.20 per item sold Print Done Data table Henderson Supermarkets (HS) operates at capacity and decides to apply ABC analysis to three product line (Click the icon to view the activity cost rates.) The revenues, cost of goods sold, store support costs, activities that account for the store support costs, and activity, (Click the icon to view the information for the three product lines.) Read the requirements. Milk and Baked Goods Fruit Juice Frozen Products Financial data Requirement 1. Use the simple costing system to prepare a product-line profitability report for HS. (Roundt Milk and Frozen Baked Goods Fruit Juice Products Total Revenues Costs 30 Revenues $ 58,000 $ 67,500 $ 51,000 Cost of goods sold 38,000 $ 47,000 $ 35,000 Store support 11,400 $ 14,100 $ 10,500 Activity-area usage (cost-allocation base) Ordering (purchase orders) 25 13 Delivery (deliveries) 98 36 28 Shelf-stocking (hours) 183 166 24 Customer support (items sold) 15,500 20,500 7,900 Under its simple costing system, HS allocated support costs to products at the rate of 30% of cost of goods sold. Cost of goods sold Store support Total costs Operating income Operating income/Revenues % % % % Print Done Henderson Supermarkets (HS) operates at capacity and decides to apply ABC analysis to three product lines: baked goods, milk and fruit juice, and frozen foods. It identifies four activiti (Click the icon to view the activity cost rates.) The revenues, cost of goods sold, store support costs, activities that account for the store support costs, and activity-area usage of the three product lines are as follows: B (Click the icon to view the information for the three product lines.) Read the requirements. Requirements Requirement 1. Use the simple costing system to prepare a Mil Baked Goods Fruil 1. Use the simple costing system to prepare a product-line profitability report for HS. 2. Use the ABC system to prepare a product-line profitability report for HS. 3. What new insights does the ABC system in requirement 2 provide to HS managers? Revenues Costs Cost of goods sold Store support Total costs Print Done Operating income Operating income/Revenues %
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