A batch level activity will vary with the a quantity

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A batch level activity will vary with the a) quantity of output. b) number of batches. c) number of activities. d) number of units produced.
Manufacturing which focuses on eliminating waste and satisfying customers is known as
ABC can be used by service providers if they have costs and:
All of the following are types of activities which cause overhead except:
Costs resulting from manufacturing defective products or providing services that do not meet customer expectations are referred to as a) costs of quality b) defective product costs c) activity costs d) prevention costs Lean manufacturing focuses on eliminating waste and satisfying the customer. In order for a service provider to use activity-based costing, they must have demand for reliable cost information and the existence of cost.
Ex 4-8 & 4-9 Way Cool produces two different models of air conditioners. The company produces the mechanical systems in its components department. The mechanical systems are combined with the housing assembly in its finishing department. The activities, costs, and drivers associated with these two manufacturing processes and the production support process follow. Additional production information concerning its two product lines follows. Plantwide Overhead Rate Overhead costs ($1,004,000 + $465,300 + $232,000) = $1,701,300.
1. Determine departmental overhead rates and compute the overhead cost per unit for each product line. Base your overhead assignment for the components department on machine hours. Use welding hours to assign overhead costs to the finishing department. Assign costs to the support department based on number of purchase orders. 2. Determine the total cost per unit for each product line if the direct labor and direct materials costs per unit are $250 for Model 145 and $180 for Model 212. 3. If the market price for Model 145 is $820 and the market price for Model 212 is $480, determine the profit or loss per unit for each model.
Problem Information: Bellagio Olive Oil Company manufactures extra virgin olive oil using a series of processes to convert olives into olive oil. These steps include cleaning the olives, grinding them into a paste, mixing to increase olive oil yield, separating the olive oil from the fruit, extracting the olive oil, storing, and bottling. In the Mixing Department, direct materials (olives) are added at the beginning of the process, and conversion costs are incurred uniformly throughout the process. At the beginning of the most recent accounting period, Bellagio had 20,000 units in the mixing process that were 30 percent complete. It started an additional 150,000 units into the process and ended the period with 40,000 units in process, 40 percent

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