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Author Question: Conquest Machining Ltd. is a manufacturer of precision hand tools, is concerned with the apparent ... (Read 100 times)

mspears3

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on: Jan 4, 2020
Conquest Machining Ltd. is a manufacturer of precision hand tools, is concerned with the apparent lack of controls over cost incurrence in its Pliers Division. The division has always used a plant-wide rate for allocating manufacturing overhead to its products. However, some products cost substantially more than competitors retail prices while others are substantially less. The division manager believes that a better cost allocation method can be developed.

With the assistance of a plant supervisor, the accounting department has been able to establish the following relationships between production activities and the indirect costs of the activities:

ActivityCost DriverAllocation Rate
Material handlingNumber of parts$2.60 per part
Machine stampingMachine hours$60.00 per hour
Finishing Time Finishing minutes$4.00 per minute

The traditional allocation method is based upon direct manufacturing labour hours, and if that method is used the rate is $28 per hour.

Required:
Compute the unit indirect manufacturing costs of a batch of 200 tools if the batch required 220 parts, 8 machine hours, 52 minutes of finishing time, and 46 direct labour hours:
Managerial Accounting, Canadian Edition ¦ Braun, Tietz, Pyper ¦ 2nd Edition
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Marked as best answer by mspears3 on Jan 4, 2020

Mholman93

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Reply #1 on: Jan 4, 2020
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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mspears3

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Reply 2 on: Jan 4, 2020
Thanks for the timely response, appreciate it

Dominic

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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