ACCT 556 help A Guide to career/Snaptutorial ACCT 556 help A Guide to career/Snaptutorial | Page 2

1.
Calculate the Wernecke Company’s estimated direct labor
hours to produce flims and flams.
2.
Calculate the predetermined variable overhead rate that will be
used in the coming year using a traditional costing system based upon
direct labor hours.
3.
Using a traditional costing system based upon direct labor
hours, compute the unit product costs for flims and flams as well as
contribution margin per unit.
4.
It has been suggested to the president to consider the use of an
ABC costing system to allocate manufacturing overhead. Engineering
studies have revealed the following information about estimated
manufacturing activities for the coming year.
Calculate the separate predetermined overhead rates for each
of the activities
listed above.
5.
The following data is available about the activity levels
needed to produce the projected 25,000 units of Flims:
6.
The following data is available about the activity levels
needed to produce the projected 15,000 units of Flams:
Calculate the expected variable overhead to be applied to
Flams.
7.
Calculate the total overhead (total for company) that is
expected to be applied to Flims and Flams.
8.
Calculate the projected unit costs and unit contribution
margins for Flims and Flams using ABC costing.
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