Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. sultan company uses an activity-based costing syst

Sultan Company uses an activity-based costing system. At the beginning of the year,...

70.2K

Verified Solution

Question

Accounting

Sultan Company uses an activity-based costing system. At the beginning of the year, the company made the following estimates of cost and activity for its five activity cost pools:
\table[[Activity Cost Pool,Expected,Activity Measure,\table[[Overhead Cost],[Expected Activity]]],[Labor-related,Direct labor-hours,$142,500,28,500 DLHs],[Purchase orders,Number of orders,$15,535,239 orders],[Parts management,Number of part types,$65,450,85 part types],[Board etching,Number of boards,$105,600,1,760 boards],[General factory,Machine-hours,$144,000,18,000 MHs]]
Required:
Compute the activity rate for each of the activity cost pools.
The expected activity for the year was distributed among the company's four products as follows:
\table[[Activity Cost Pool,Expected Activity],[,Product A,Product B,Product C,Product D],[Labor-related (DLHs),6,700,13,000,4,100,4,700],[Purchase orders (orders),66,28,98,97],[Parts management (part types),27,12,32,0],[Board etching (boards),510,720,530,4,300],[General factory (MHs),3,700,7,500,2,500,]]
Using the ABC data, determine the total amount of overhead cost assigned to each product.
image

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

Electrical Engineering
1.2K views

1. Explain briefly the operation of a bi-polar transistor as a switch.

Biology
1.2K views

A Oculomotor nerve cranial nerve III B Facial nerve cranial nerve VII C Olfactory cranial...

Biology
1.2K views

Which nerve innervates both the quadriceps muscle group and the skin over the patella the...

Physics
1.2K views

For progressive wave y 2cm sin 3t 4x Statement 1 The particle at x 0...

Physics
1.2K views

A satellite of mass m is launched vertically upwards with an initial speed u from...

Physics
1.2K views

As shown in figure two vertical conducting rails separated by distance 1 0 m are...

Basic Math
1.2K views

You are ready to spend your Christmas money You go to your favorite store and...

Calculus
1.2K views

The population of rabbits (in thousands) in a forest at time t months is modeled...

Calculus
1.2K views

a The curvature of the helix r t a cost i a sin t j...

Accounting
1.2K views

Why do corporations issue convertible securities?

Accounting
1.2K views

Martin Company fabrica telfonos celulares. El controlador de la empresa quera calcular los costos fijos...

Accounting
1.2K views

Exercise 14-17(Algo) Determining cost flows for manufacturers LO P2 Determine the missing amount for...