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Author Question: VelshiPrinters has contracts to complete weekly supplements required by forty-six customers. For the ... (Read 56 times)

biggirl4568

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on: Mar 6, 2021
Velshi Printers has contracts to complete weekly supplements required by forty-six customers. For the year 2018, manufacturing overhead cost estimates total $1,760,000 for an annual production capacity of 16 million pages.

For 2018 Velshi Printers has decided to evaluate the use of additional cost pools. After analyzing manufacturing overhead costs, it was determined that number of design changes, setups, and inspections are the primary manufacturing overhead cost drivers. The following information was gathered during the analysis:

Cost poolManufacturing overhead costsActivity level
Design changes$160,000200 design changes
Setups1,530,0005,000 setups
Inspections70,0007,000 inspections
Total manufacturing overhead costs$1,760,000

During 2018, two customers, Money Managers and Hospital Systems, are expected to use the following printing services:

ActivityMoney ManagersHospital Systems
Pages60,00076,000
Design changes14 0
Setups166
Inspections2533

Assuming activity-cost pools are used, what are the activity-cost driver rates for design changes, setups, and inspections cost pools?
◦ $800.00 per change, $306.00 per setup, $10.00 per inspection
◦ $800.00  per change, $14.00  per setup, $218.57 per inspection
◦ $32.00  per change, $10.00 per setup, $306.00 per inspection
◦ $22.86  per change, $306.00 per setup, $350 per inspection
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by biggirl4568 on Mar 6, 2021

Anna

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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biggirl4568

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Reply 2 on: Mar 6, 2021
YES! Correct, THANKS for helping me on my review

bitingbit

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Reply 3 on: Yesterday
Excellent

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