Question
Oxnard Company uses a volume-based costing system that applies overhead cost based on machine hours at...
Oxnard Company uses a volume-based costing system that applies overhead cost based on machine hours at $25 per machine hour.
The company is considering adopting an activity-based costing system with the following data:
| Activity | Cost Driver | Rate |
| Materials handling | Pounds of material | $1.50 |
| Lathe work | Number of parts | $1.00 |
| Milling | Number of machine hours | $8.00 |
| Grinding | Number of turns | $0.40 |
| Testing | Number of units tested | $15.00 |
The two jobs processed in the month of May had the following characteristics:
| Job A | Job B | |
| Direct material | $18,400 | $60,600 |
| Direct labor | $6,000 | $12,000 |
| Pounds of material | 900 |
3,000 |
| Number of parts | 450 |
1,500 |
| Number of turns | 10,000 | 40,000 |
| Number of machine hours | 375 | 800 |
| Number of units in each job | 80 | 200 |
All units tested.
Q. Using ABC, the cost per unit for Job A is:
Group of answer choices
$305.00
$125.00
$430.00
$230
Homework Answers
Answer #1
Ans: $430
Feel free to ask any clarification, if required. Kindly
provide feedback by thumbs up, if satisfied. It will be
highly appreciated.
Thank you.
Not the answer you're looking for?
Similar Questions
Oxnard Company uses a volume-based costing system that applies overhead cost based on machine hours at...
Oxnard Company uses a volume-based costing system that applies
overhead cost based on machine hours at $25 per machine hour.
The company is considering adopting an activity-based costing
system with the following data:
Activity
Cost Driver
Rate
Materials handling
Pounds of material
$1.50
Lathe work
Number of parts
$1.00
Milling
Number of machine hours
$8.00
Grinding
Number of turns
$0.40
Testing
Number of units tested
$15.00
The two jobs processed in the month of May had the following
characteristics:
Job...
Oxnard Company uses a volume-based costing system that applies overhead cost based on machine hours at...
Oxnard Company uses a volume-based costing system that applies
overhead cost based on machine hours at $25 per machine hour.
The company is considering adopting an activity-based costing
system with the following data:
Activity
Cost Driver
Rate
Materials handling
Pounds of material
$1.50
Lathe work
Number of parts
$1.00
Milling
Number of machine hours
$8.00
Grinding
Number of turns
$0.40
Testing
Number of units tested
$15.00
The two jobs processed in the month of May had the following
characteristics:
Job...
TG corp' s single predetermined overhead rate is $114 per direct labor hour. Under their ABC...
TG corp' s single predetermined overhead rate is $114 per direct
labor hour. Under their ABC system they have 5 OH pools with the
following rates: material handling $0.35 per part, lathe work $0.15
per lathe turn, milling $26 per machine hour, grinding $0.80 per
part, and testing at $21 per unit tested. Based on the following
information calculate the cost per unit for Job 421 using the ABC
overhead system:
Direct material cost per job: $10,000 (job 420), $60,000...
Waymire Ltd. currently uses a traditional costing system based on direct labour hours to allocate overhead....
Waymire Ltd. currently uses a traditional costing system based
on direct labour hours to allocate overhead. This year, the company
has budgeted to produce 1721 units of one of its products. Each
unit requires 4 hours of direct labour. For the coming year, the
company is considering changing to an activity based costing system
by allocating overhead based on 3 activities. The following are the
activities, budgeted total cost and cost drivers per activity for
the upcoming year: Activity Cost...
Moody Corporation uses a job-order costing system with a plantwide overhead rate based on machine-hours. At...
Moody Corporation uses a job-order costing system with a
plantwide overhead rate based on machine-hours. At the beginning of
the year, the company made the following estimates
Machine-hours required to support estimated production
200,000
Fixed manufacturing overhead cost
$1,300,000
Variable manufacturing overhead cost per machine-hour
$3.00
1.a - Compute the predetermined overhead rate – (12 points)
1. b - During the year, Job 400 was started and completed. The
following information was available with respect to this job
Direct materials...
4A. Harootunian Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based...
4A.
Harootunian Corporation uses a job-order costing system with a
single plantwide predetermined overhead rate based on
machine-hours. The company based its predetermined overhead rate
for the current year on the following data:
Total
machine-hours
80,000
Total
fixed manufacturing overhead cost
$
312,000
Variable
manufacturing overhead per machine-hour
$
2.10
Recently, Job T629 was completed with the following
characteristics:
Number
of units in the job
50
Total
machine-hours
200
The predetermined overhead rate is closest to:
Multiple Choice
$8.10 per...
Moody Corporation uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours....
Moody Corporation uses a job-order costing system with a
plantwide predetermined overhead rate based on machine-hours. At
the beginning of the year, the company made the following
estimates:
Machine-hours
required to support estimated production
153,000
Fixed manufacturing overhead
cost
$
654,000
Variable manufacturing overhead
cost per machine-hour
$
4.70
Required:
1. Compute the plantwide predetermined overhead rate.
2. During the year, Job 400 was started and completed. The
following information was available with respect to this job:
Direct
materials
$...
Moody Corporation uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours....
Moody Corporation uses a job-order costing system with a
plantwide predetermined overhead rate based on machine-hours. At
the beginning of the year, the company made the following
estimates:
Machine-hours required to support estimated production
151,000
Fixed manufacturing overhead cost $ 658,000
Variable manufacturing overhead cost per machine-hour $ 4.90
Required: 1. Compute the plantwide predetermined overhead
rate.
2. During the year, Job 400 was started and completed.
The following information was available with respect to this
job:
Direct materials $...
Moody Corporation uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours....
Moody Corporation uses a job-order costing system with a
plantwide predetermined overhead rate based on machine-hours. At
the beginning of the year, the company made the following
estimates: Machine-hours required to support estimated production
152,000 Fixed manufacturing overhead cost $ 654,000 Variable
manufacturing overhead cost per machine-hour $ 5.00 Required: 1.
Compute the plantwide predetermined overhead rate. 2. During the
year, Job 400 was started and completed. The following information
was available with respect to this job: Direct materials $...
Moody Corporation uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours....
Moody Corporation uses a job-order costing system with a
plantwide predetermined overhead rate based on machine-hours. At
the beginning of the year, the company made the following
estimates:
Machine-hours required to support estimated production
155,000
Fixed manufacturing overhead cost
$
658,000
Variable manufacturing overhead cost per machine-hour
$
4.40
Required:
1. Compute the plantwide predetermined overhead rate.
2. During the year, Job 400 was started and completed. The
following information was available with respect to this job:
Direct materials
$...
ADVERTISEMENT
Need Online Homework Help?
Get Answers For Free
Most questions answered within 1 hours.
ADVERTISEMENT
Active Questions
asked 4 minutes ago
asked 14 minutes ago
asked 24 minutes ago
asked 35 minutes ago
asked 56 minutes ago
asked 56 minutes ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago