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Author Question: Consider the following information attributed to the material management department Budgeted usage ... (Read 77 times)

AEWBW

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on: Mar 6, 2021
Consider the following information attributed to the material management department

Budgeted usage of materials-handling labor-hours 3500
Budgeted cost pools:
Fixed costs $154,000
Variable costs $126,000 (3500 hours x $36 per hour)
 
The company uses the single-rate method to allocate support costs to the Machining and Assembly Departments. Assuming that the actual hours tracked in the Machining and Assembly department are 500 for the month, what would be the allocation rate and how much cost would be allocated to the Machining and Assembly Department for the operations of the month? (Round final answers to the nearest dollar.)
◦ $80 an hour for a total of $40,000
◦ $36 an hour for a total of $40,000
◦ $36 an hour for a total of $18,000
◦ $560 an hour for a total of $80
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by AEWBW on Mar 6, 2021

irishcancer18

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Reply #1 on: Mar 6, 2021
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AEWBW

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Reply 2 on: Mar 6, 2021
Gracias!

Dnite

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Reply 3 on: Yesterday
Wow, this really help

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