Hakara Company has been using direct labor costs as the basis for assigning overhead to its many products. Under this allocation system, product A has been assigned overhead of $27.80 per unit, while product B has been assigned $13.23 per unit. Management feels that an ABC system will provide a more accurate allocation of the overhead costs and has collected the following cost pool and cost driver information:

Cost Pools Activity Costs Cost Drivers Activity Driver Consumption
Machine setup $360,000 Setup hours 4,000
Materials handling 85,000 Pounds of materials 17,000
Electric power 50,000 Kilowatt-hours 25,000

The following cost information pertains to the production of A and B, just two of Hakara's many products:

A B
Number of units produced 4,000 10,000
Direct materials cost $39,000 $38,000
Direct labor cost $22,000 $27,000
Number of setup hours 100 200
Pounds of materials used 2,000 2,000
Kilowatt-hours 2,000 4,000

Required:
Use activity-based costing to determine a unit cost for each product.

Answers

Answer 1

Answer:

Unitary cost A= $21

Unitary cost= $10.1

Explanation:

First, we need to calculate the predetermined overhead rate for each activity:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Machine setup= 360,000/4,000= $90 per setup hour

Materials handling= 85,000/17,000= $5 per pound

Electric power= 50,000/25,000= $2 per killowat

Now, we can allocate overhead to each product:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Product A:

Machine setup= 90*100= $9,000

Materials handling= 5*2,000= $10,000

Electric power= 2*2,000= $4,000

Total= $23,000

Product B:

Machine setup= 90*200= $18,000

Materials handling= 5*2,000= $10,000

Electric power= 2*4,000= $8,000

Total= $36,000

Finally, the total cost and unitary cost:

Product A:

Total cost= 39,000 + 22,000 + 23,000= $84,000

Unitary cost= 84,000/4,000= $21

Product B:

Total cost= 38,000 + 27,000 + 36,000= $101,000

Unitary cost= 101,000/10,000= $10.1


Related Questions

In recording the acquisition cost of an entire business: goodwill is recorded as the excess of cost over the fair market value of identifiable net assets. assets are recorded at the seller's book values. goodwill, if it exists, is never recorded. goodwill is recorded as the excess of cost over the book value of identifiable net assets.

Answers

"You record acquisition costs on a company's balance sheet under the fixed assets section. The total cost included on the balance sheet includes all costs incurred to use the asset, including costs associated with getting the asset working and producing"

YOUR TASK. Revise the following sentences to unbury the verbs.
41. After investigating, the fire department reached the conclusion that the blaze was set intentionally.
42. Our committee promised to give consideration to your proposal at its next meeting.
43. When used properly, zero-based budgeting can bring about a reduction in overall costs.
44. Did our department make an application for increased budget support?
45. The budget committee has not taken action on any projects yet.
46. Homeowners must make a determination of the total value of their furnishings.

Answers

The revision of the sentences to unbury the verbs is:

41. After the investigation, the fire department reached the conclusion that the blaze was set intentionally.42. Our committee promised to give consideration to your proposal at its next meeting.43. When used properly, zero-based budgeting can bring about a reduction in overall costs.44. Did our department make an application for increased budget support?45. The budget committee has not taken action on any projects yet.46. Homeowners must make a determination of the total value of their furnishings.

What is a Verb?

This is an action or doing word which is used to show action and is one of the important parts of speech in the English language.

When a verb is buried, then the function in the sentence is unclear and obscure, but by placing them properly and changing the form in which they appear in the sentence.

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The CEO is interested in learning more about probability and how it works. The CEO is also asking about how probability and analytics can be integrated into the business model. In the process of looking for information on probability, you find that it is important to understand optimization and forecasting and how they can be applied to benefit the business. Do some research and present the results for the CEO. The following is the necessary information to complete this lab assignment. Deliverables Step 2: Probability Research • Considering the CEO's request, you determine that some research needs to take place. • Define the following terms for the CEO and locate some chart examples of each type of analysis. o Probability o Optimization o Forecasting Step 3: Integrating Data Research for Business • In one to two paragraphs, discuss what role probability and statistics play in business decisions. • In one to two paragraphs, discuss any ethical considerations when doing probability. • Summarize by explaining why probability is a good method for the CEO to consider.

Answers

Step 2: Probability Research Probability, Optimization, Forecasting.

Step 3: Integrating Data Research for Business.

Probability:

Probability is a branch of mathematics that deals with the likelihood of events occurring. It is a measure of uncertainty and is expressed as a number between 0 and 1, where 0 represents impossibility and 1 represents certainty.

Optimization:

Optimization involves finding the best possible solution from a set of alternatives. It aims to maximize desired outcomes or minimize undesirable ones, considering constraints and objectives.

Forecasting:

Forecasting is the process of predicting future events or outcomes based on historical data and statistical models. It helps businesses anticipate demand patterns, market trends, and other factors that can influence decision-making.

Step 3: Integrating Data Research for Business

Probability and statistics play a crucial role in business decisions. They provide a framework for analyzing and interpreting data, assessing risks, making predictions, and supporting evidence-based decision-making.

When working with probability, ethical considerations are important. It is essential to ensure that data used in probability analysis is collected ethically, respects privacy and confidentiality, and adheres to relevant legal and regulatory requirements.

Probability is a valuable method for the CEO to consider because it provides a systematic and quantitative approach to analyzing uncertainty and making informed decisions.

By integrating probability into the business model, the CEO can better understand risks, optimize resource allocation, improve forecasting accuracy, and ultimately enhance strategic decision-making and business performance.

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What are the essential elements of a persona

Answers

Answer:

Fictional name

Explanation:

¿In two to three sentences, explain why it is important to have insurance.?

Answers

Answer:

Explanation:

Insurance protects yourself, your assets, or even your family against financial loss. Oftentimes, events, such as cancer or a car accident, are random and have the potential to financially run people. Insurance is a way to reduce the financial impacts of these risks.

Joan filed her individual income tax return 4½ months after it was due. She did not request an extension of time for filing. Along with her return, Joan remitted a check for $750, which was the balance of the taxes she owed with her return. Disregarding interest, calculate the total penalties that Joan will be required to pay, assuming the failure to file was not fraudulent

Answers

Answer:

$187.50

Explanation:

Calculation to determine the total penalties that she will be required to pay

Based on the information if she remitted a check for the amount of $750 the total penalties that she will be required to pay, if it was assumed that the failure to file was not fraudulent will be calculated as:

Total penalties=[$750*(5%*5)]

Total penalties=$750*0.25

Total penalties= $187.50

Therefore the total penalties that she will be required to pay is $187.50

How can the federal reserve influence the interest rate on credit cards?
A. By shutting down credit card companies that set rates too high.
B. By raising taxes on companies that provide high-interest credit cards.
C.By adjusting the discount rate banks pay to borrow.
D.By setting up federal credit card companies with low rates.

Answers

Answer:

C. By adjusting the discount rate banks pay to borrow

Explanation:

A P E X

The federal reserve can influence the interest rate on credit cards by raising taxes on companies that provide high-interest credit cards. Thus, option B is appropriate.

The American financial system's heart is the Federal Reserve System. After a string of financial panics prompted the need for centralized supervision of the monetary system to prevent financial crises, it was established on December 23, 1913, following the passage of the Federal Reserve Act.

Banks and other lenders' interest rate-setting processes are influenced by Federal Reserve decisions. To finance anything from a car or home to your purchases using a credit card, higher Fed interest rates equate to more expensive borrowing charges.

Thus, option B is correct.

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Which of the following is NOT a benefit of investing in a mutual fund?
O diversification
O skilled investors
O affordability
O lower potential gains

Answers

Lower potential gains is not a benefit of investing in a mutual fund

What are mutual funds?

A mutual fund is a type of financial instrument that combines investor capital with a single investing goal. Depending on the goals of the scheme, it subsequently invests the funds in different asset classes including equities and bonds. In general, mutual funds are considered to be a secure investment and an excellent way enabling investors to invest with little risk. A mutual fund may not always be the best option for a market participant, particularly when it comes to costs.

Reasons for high costs

The Charges.market ambiguityThe Managers of Funds.The type of fund.Size of the Fund.Taxation Associated With Your Mutual Fund

For a variety of reasons, such as large inflows or to retain exclusivity, mutual funds and hedge funds may decide to close to new participants. When a fund is winding down, funds may also close to new investors because of subpar performance.

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easiest way to start making good money as a teen

Answers

As a teen, there are several ways to start making money. Here are some ideas that you can consider:

Babysitting: If you enjoy being around kids, babysitting can be a great way to earn money. You can start by offering your services to family and friends or by creating a profile on websites like Care.com or Sittercity.com.

Pet sitting and dog walking: If you are an animal lover, you can offer pet sitting or dog walking services in your neighborhood. You can advertise your services on social media or local bulletin boards.

Yard work: You can offer your services to mow lawns, rake leaves, and do other yard work for people in your neighborhood. You can start by asking your neighbors if they need help or by creating a profile on websites like TaskRabbit.com.

Freelance work: If you have skills in areas like graphic design, writing, or programming, you can offer your services as a freelancer on websites like Upwork.com or Fiverr.com.

Sell products online: You can start a small business selling products online, such as handmade crafts or reselling items you no longer need. You can use platforms like Etsy.com or eBay.com to sell your products.

Remember, the easiest way to start making money as a teen is to find something you enjoy doing and that you're good at. You can then market your skills or services to others in your community or online.

Gomez runs a small pottery firm. He hires one helper at $10,500 per year, pays annual rent of $4,500 for his shop, and spends $19,000 per year on materials. He has $40,000 of his own funds invested in equipment (pottery wheels, kilns, and so forth) that could earn him $5,000 per year if alternatively invested. He has been offered $21,000 per year to work as a potter for a competitor. He estimates he could use his talents to earn an additional $3,000 per year in consulting fees if he were working full time as a potter. Total annual revenue from pottery sales is $71,000.Calculate the accounting profit and the economic profit for Gomez’s pottery firm.1. Accounting Profit = $______2. Economic Profit = $______

Answers

Answer:

Economic profit= $8,000

Accounting profit= $37,000

Explanation:

Giving the following information:

Costs:

Helper= $10,500 per year

Rent= $4,500

Materials= $19,000

Total= 34,000

Pottery Revenue= $71,000

Alternative= 5,000 + 21,000 + 3,000= $29,000

The difference between the economic profit and accounting profit is that the first one includes the opportunity cost of an alternative income.

Economic profit= 71,000 - 34,000 - 29,000= $8,000

Accounting profit= 71,000 - 34,000= $37,000

how can your organisation utilise diverse talent, attitudes and values of employees that emanates from diversity in order to maximize​

Answers

An organization having a diverse workforce will be able to offer a diversity of work skills, potential, ideas and energy.

In what ways can your organization utilize diverse talent, attitudes and values of employees?

Every organization has policies on equality and diversity. Organizational policies on equality and diversity impact the day-to-day activity in the workplace. An organization having a diverse workforce will be able to offer a variety of work skills, potential, ideas, and energy. A diverse workforce will make the organization a better place to work. Equality refers to equal opportunity in an organization irrespective of caste, creed, color, gender, etc.

Workplace policies with respect to equality and diversity allow the smooth running of an organization and avoid any biased decisions based on any religion, gender, demography, etc.

When every employee has equal rights and an equal chance to achieve their potential then the organization also grows well and its success rate improves.

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Use the internet to research one manufacturing, one retail (or merchandising), and one service business. For each business, describe the following: the primary purpose of the entity. the types of activities that accountants would record (hint: what is the source of the business’ funding, and what costs might the business have?) the types of decisions that might be made in this organization and how financial and nonfinancial information might help the decision-making process.

Answers

Users of financial statements are primarily served by accounting information by providing them with financial and economic data about a corporation.

What is the primary activity of an accountant?

Creating and keeping up with significant financial reports. preparing tax returns and ensuring timely and accurate payment of taxes. assessing financial operations in order to make recommendations for best practices, spot problems and develop solutions, and aid organizations in functioning effectively.

The service industry includes accounting. Its purpose is to provide quantitative data on economic entities, primarily of a financial (financial) nature (money) that can be used to help with decisions about the economy.

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It's important for the interviewer to know about your biggest professional accomplishment.

True
or
False

Answers

Answer: false

They may not want to know what you have done, like got a wife, or won a award in 3rd grade for highest jump off a swing. If it is job related they may, but probably not.

what the role of marketing

Answers

Answer:

The Marketing Department plays a vital role in promoting the business and mission of an organization. It serves as the face of your company, coordinating and producing all materials representing the business.

Explanation:

hope this helps and I want brainless

how bill of rights affect you as a young person​

Answers

There are several significant ways that the Bill of Rights impacts young people. The Bill of Privileges, which comprises the first ten amendments to the U.S. Constitution, specifies the fundamental liberties and privileges to which all citizens are entitled.

Due to age-related prejudice and barriers to exercising their rights, young people's potential is restricted. Thus, the full enjoyment of fundamental rights and freedoms by youth is referred to as the human rights of youth.

Future generations will shape society. Simply maintaining the status quo of society is all that is required of the younger generation. The youngster develops leadership skills and has the potential to positively impact others' lives when they devote their thoughts and efforts to resolving social concerns.

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Teamwork Skills
And what you can learn from it
In in skill In
life

Answers

Some team work skills are
Communication.
Time management.
Problem-solving.
Listening.
Critical thinking.
Collaboration.
Leadership.
And you can learn how to respectfully and confidently express their ideas and opinions effectively in a group setting.

Textra Plastics produces parts for a variety of small machine manufacturers. Most products go through two operations, molding and
trimming, before they are ready for packaging. Expected costs and activities for the molding department and for the trimming
department for 2017 follow.
Direct labor hours
Machine hours
Overhead costs
Number of units
Machine hours
Molding
52,000 DLH
30,500 MH
Molding
Trimming
Direct labor hours
Molding
Trimming
$730,000
Data for two special order parts to be manufactured by the company in 2017 follow.
Part A27C
Part X82B
9,800 units
54,500 units
5,100 MH
2,600 MH
Trimming
48,000 DLH
3,600 MH
5,500 DLH
700 DLH
$590,000
1,020 MH
650 MH
2,150 DLH
3,500 DLH

Answers

1. The following chart shows how the molding department's overhead rate is calculated based on machine hours and how the trimming department's overhead rate is calculated based on direct labor hours:

Explanation:-

For example, the overhead cost for the molding department is $730,000 divided by 30,500 machine hours, or $23.93 per machine hour.

For the trimming department, the overhead cost is $590,000 divided by 48,000 direct labor hours to get $12.29 per machine hour.

2. The overhead expense for Parts X82B and A27C combined, as well as the expense per unit, are as follows.

Departmental Part A27C Activity For Total Overhead Driver OH Rate each Cost

Five thousand one hundred and thirty minutes divided by 23.93 hours is $122,065.57 for the molding machine.

Reduced Direct Labor Hours $12.29 Direct Labor Hour $8,604.11 (700 DLH 12.29)

Reducing Direct Labor Hours $12.29 Direct Labor Hour $43,020.83 (3,500 DLH 12.29)

54,500 units x total overhead of $674,33.95

Costs per unit $1.24

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Calculations of cost and benefit are always which of the following?
OA. Resourceful
OB. Minimum
OC. Rational
OD. Subjective

Answers

Answer:

D.

Explanation:

It’s subjective.

I think it’s subjective because it’s about the benefit of the calculations of a cost.

Describe the nature of a manufacturing businesses

Answers

Answer:

manufacturing business is any business that uses components, parts or raw materials to make a finished good. These finished goods can be sold directly to consumers or to other manufacturing businesses that use them for making a different product.

All infrastructure is underground.
A. True
B. False

Answers

All infrastructure is underground. This is a false statement because infrastructure can not be underground.

What is Infrastructure?

Roads, communications, transportation hubs, businesses, bridges, dams, power, medical facilities, and educational institutions make up the infrastructure.

Infrastructure is referred to as the fundamental physical framework of an organization, region, or country. It frequently pertains to the creation of public goods or industrial activities. Transportation, communication, sewage, water, and educational infrastructure are a few examples.

The two primary categories of infrastructure investments are as follows: Social infrastructure consists of institutions including hospitals, affordable housing, and schools. Infrastructure for the economy, including power, sewage, water, airports, and highways.

Therefore, The statement is false.

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Free Cash Flow

100

Growth rate

2%

Tax Rate

1%

Cost of Capital

5%

Debt-to-total value

50%

Given the data in the above, what is the terminal value of the business (using the growing perpetuity formula)?

Answers

Answer:

Explanation:

Terminal value of business Formula = FCF (1+g)/(WACC- g)

Where:

FCF= current free cash flow = 100  

g= Growth rate = 2%  

WACC = Weighted average cost of capital = Cost of capital = 5%

Terminal Value of the business= FCF (1+g)/(WACC- g)

Terminal Value of the business= 100 (1+2%)/(5%- 2%)

Terminal Value of the business= 3,400

19. If line 18 is more than line 15, subtract line 15 from line 18. This is the amount you overpaid?

Answers

Answer Should be -3
The correct amount is $-3! This means u overpaid by three dollars! Hope this helped! BRANLIEST plz!

You can repair your furnace for $500 and it will last 5 more years, but your heating bills will cost you about $1500 per year. Alternatively, a new furnace can be installed for $3000 that will reduce your annual heating bill to $1200. Suppose you sell the house in 5 years and receive an additional $1000 in the sales price of your home (salvage value) because of having a fairly new furnace. Should you replace it? Use a 5-year analysis period and a MARR of 5%

Answers

Answer:

By present value old furnace should not be replaced, since  the new furnace costs more.

Explanation:

Solution

For the old furnace

Present value = - 500 - 1500 = (1 +i)^n-1/i (1+i)n

= - 500-1500 * 1.05^⁵/0.05 * 1.05^⁵

= -$6994.215

Now,

For the new furnace

The present value = - 3000 - 1200 *  1.05^⁵ - 1/0.05 * 1.05^⁵ + 1000/ (1.05)⁵

= -$7411.845

Therefore, As the new furnace costs more by present value old furnace should not be replaced

The goal of the review in a business presentation is to Multiple choice question. compel audience members to consider taking specific actions. lead audience members in participating in a dramatic demonstration. tie together the meaning of any visual aids used in the presentation. provide a brief evaluation of the speaker's reaction to audience members.

Answers

Answer:

provide a brief evaluation of the speaker's reaction to audience members.

Explanation:

In a business presentation review, the main objective is to provide a brief assessment of the speaker's reaction to audience members, that is, the objective is to share with the members of that company how business was conducted, what efforts were achieved and how company is moving into the market. Sharing a brief assessment of the speaker's reaction with members helps to create a sense of belonging to the company, identification of members and satisfaction with the results achieved, thus increasing reliability and appreciation at work, strengthening integration, productivity and organizational culture.

Kenya is enrolled in 14 credit hours this semester. Using the 2:1 rule, how many hours will she spend total on college schoolwork in class and on her own?
A. 7
B. 21
C. 28
D. 42

Answers

7 hours will she spend total on college schoolwork in class and on her own. Calculator for Credit Hours For a conventional 14-week course, each credit hour equates to at least 3 hours of weekly student involvement and to 6 hours for a 7-week course.

Discussions, lectures, readings, assignments, and research can all be done during this period. The amount of credit a student receives for successfully completing one contact hour and two preparation hours per week for a college semester is known as a semester credit hour (SCH). Regardless of the length of the course, one semester hour is equal to 15–16 contact hours.

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which of the following is the mission of the federal reserve bank? i. preserve price stability ii. foster economic growth and employment iii. promote a stable financial system

Answers

Answer:

Explanation:

iii. promote stable financial system....or maybe
ii. foster economic growth and employment
becz........
The mission of the Federal Reserve System is to foster the stability, integrity, and efficiency of the nation's monetary, financial, and payment systems so as to promote optimal macroeconomic performance. to the public....

The objective of the Federal Reserve Bank is to support a stable financial system, encourage economic growth, and create jobs. The right answers are therefore (ii) and (iii).

What do you know about  federal reserve bank?

The most recent organizations established by the American government to fulfill the duties of a central bank are the Federal Reserve Banks. Previous organizations include the Independent Treasury (1846–1920),

the National Banking System, the First (1791–1811) and Second (1818–1824) Banks of the United States, among others (1863–1935).

With respect to these institutions, there are several policy issues that need to be addressed, such as the extent to which private interests can sway decisions, how to balance regional and national economic concerns,

how to avoid financial panics, and what kind of reserves should be used to support currencies.

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Part A. Sarah has a credit card with a 21% interest rate and has a current balance of $838. What would her estimated interest be monthly? (Use APR formula or calculator if needed.)

Part B. If Sarah has an estimated monthly interest rate of $15.45 how much money in interest would she pay to the credit card company after one year of only paying the minimum payments?

Answers

I uploded the answer to answer.com

Select the correct answer from each drop-down menu.
Oliver scheduled a sales meeting with a prospective customer to sell financial solutions. Before the meeting, he researched this customer’s demographic characteristics. During the meeting, he was able to offer customized financial solutions to the customer based on the customer’s individual needs. Which steps of the selling process did Oliver follow?

Oliver followed the step of the selling process before the meeting, and the step during the meeting.

Answers

Oliver followed the step of "pre-approach" before the meeting, where he researched the customer's demographic characteristics. And during the meeting, he followed the step of "presentation" by offering customized financial solutions based on the customer's individual needs.

Pre-Approach is one of the first steps in the sales process, during which a salesperson researches potential customers before approaching them. For the sale process to be more relevant to all parties involved, it comprises customer analysis, consumer abilities, needs, and wants.

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The technique used to conclude about the population on the basis of a sample is called

Answers

Inferential statistics

An employment interview designed as a free-flowing dialogue is referred to as a(n) _____ interview.

Answers

Answer:

2). open

Multiple -choices

1). behavioral 2). open 3). semiprofessional 4). standard

Explanation:

An open interview is designed as a free-flowing dialogue between the interviewer and the applicant. The interview can be conducted in a group or individual format. The interviewer does not present themselves with a set of prepared questions for the candidates to respond.

An open interview can be conducted either in the office or outside the office. They are more casual than formal and may lead to instant job offers.

Answer:

open

Explanation:

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