ACC 560 WEEK 3 Chapter 4 Brief Exercises 7 and 12 ; Exercises 1 , 6 , and 14
BE4-7
Spud , Inc . a manufacturer of gourmet potato chips , employs activitybased costing . The budgeted data for each of the activity cost pools is provided below for the year 2017 .
Activity Cost Pools Estimated Overhead Expected Use of Cost Drivers per Activity
Ordering and receiving $ 84,000 12,000 orders
Food processing 480,000 60,000 machine hours
Packaging 1,760,000 440,000 labor hours
For 2017 , the company had 11,000 orders and used 50,000 machine hours , and labor hours totaled 500,000 . What is the total overhead applied ?
BE4-12
Spin Cycle Architecture uses three activity pools to apply overhead to its projects . Each activity has a cost driver used to allocate the overhead costs to the projects . The activities and related overhead costs are as follows : initial concept formation $ 40,000 , design $ 300,000 , and