Business, 27.04.2021 16:00 claudia122752
Crane, Inc. a manufacturer of gourmet potato chips, employs activity-based costing. The budgeted data for each of the activity cost pools is provided below for the year 2020.
Activity Cost Pools Estimated Overhead Estimated Use of Cost Drivers per Activity
Ordering and receiving $117,600 16,000 orders
Food processing 530,625 62,500 machine hours
Packaging 1,701,120 443,000 labor hours
For 2020, the company had 11,600 orders and used 50,900 machine hours, and labor hours totaled 490,000.
Required:
Calculate the overhead rates for each activity.
Answers: 1
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Crane, Inc. a manufacturer of gourmet potato chips, employs activity-based costing. The budgeted dat...
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