Exam 3: Job-Order Costing: Cost Flows and External Reporting

Betenbaugh,Inc. ,manufactures and sells two products: Product E4 and Product L8.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $29.00 per DLH.The direct materials cost per unit is $223.90 for Product E4 and $122.30 for Product L8. The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The unit product cost of Product L8 under the company's traditional costing method in which all overhead is allocated on the basis of direct labor-hours is closest to:

Filosa,Inc. ,manufactures and sells two products: Product W9 and Product F8.The company has an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The total overhead applied to Product F8 under activity-based costing is closest to:

Sepulvado,Inc. ,manufactures and sells two products: Product N7 and Product D4.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $15.50 per DLH.The direct materials cost per unit is $197.00 for Product N7 and $290.50 for Product D4. The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The overhead applied to each unit of Product D4 under activity-based costing is closest to:

Boutet,Inc. ,manufactures and sells two products: Product G5 and Product U1.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $21.10 per DLH.The direct materials cost per unit is $241.40 for Product G5 and $283.80 for Product U1. The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The overhead applied to each unit of Product G5 under activity-based costing is closest to:

Minon,Inc. ,manufactures and sells two products: Product J1 and Product E7.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $19.90 per DLH.The direct materials cost per unit for each product is given below: The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The activity rate for the Labor-Related activity cost pool under activity-based costing is closest to:

Masiclat,Inc. ,manufactures and sells two products: Product K2 and Product O8.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $21.10 per DLH.The direct materials cost per unit for each product is given below: The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The unit product cost of Product O8 under the company's traditional costing method in which all overhead is allocated on the basis of direct labor-hours is closest to:

Paolello,Inc. ,manufactures and sells two products: Product P5 and Product N5.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $24.60 per DLH.The direct materials cost per unit for each product is given below: The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The overhead applied to each unit of Product P5 under activity-based costing is closest to:

In the past,Hypochondriac Hospital allocated all of its overhead costs to patients based on nursing time.Hypochondriac has decided to switch to an activity based costing system using three activity cost pools.Information related to the new system is as follows: Data concerning two patients follows: Compared to the old system,which of the two patients X and Y will be charged more overhead cost under the new activity-based costing system?

Brenneis,Inc. ,manufactures and sells two products: Product T9 and Product T2.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $18.10 per DLH.The direct materials cost per unit is $115.20 for Product T9 and $221.40 for Product T2. The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: If the company allocates all of its overhead based on direct labor-hours using its traditional costing method,the overhead assigned to each unit of Product T9 would be closest to:

Mcleese,Inc. ,manufactures and sells two products: Product I6 and Product L1.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $26.60 per DLH.The direct materials cost per unit for each product is given below: The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: If the company allocates all of its overhead based on direct labor-hours using its traditional costing method,the overhead assigned to each unit of Product L1 would be closest to:

Garhart Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products. Data concerning two products appear below: Required: a.How much overhead cost would be assigned to Product R57J using the company's activity-based costing system? Show your work! b.How much overhead cost would be assigned to Product W17B using the company's activity-based costing system? Show your work!

Neldon,Inc. ,manufactures and sells two products: Product S3 and Product K2.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $18.00 per DLH.The direct materials cost per unit for each product is given below: The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: Required: In all computations involving dollars in the following requirements,round off your answer to the nearest whole cent. a.Determine the unit product cost of each product under the company's traditional costing method. b.Determine the unit product cost of each product under the activity-based costing method.

Schoeninger,Inc. ,manufactures and sells two products: Product X1 and Product I6.The company has an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The activity rate for the Machine Setups activity cost pool under activity-based costing is closest to:

The activity rates in activity-based costing are not intended to set targets for how quickly a task should be completed.

Bohringer,Inc. ,manufactures and sells two products: Product A1 and Product X5.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $28.20 per DLH.The direct materials cost per unit is $256.50 for Product A1 and $165.20 for Product X5. The company has an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The activity rate for the Labor-Related activity cost pool under activity-based costing is closest to:

Material handling is an example of a:

Testing a prototype of a new product is an example of a:

Accurso,Inc. ,manufactures and sells two products: Product J9 and Product S5.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $22.50 per DLH.The direct materials cost per unit for each product is given below: The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: If the company allocates all of its overhead based on direct labor-hours using its traditional costing method,the predetermined overhead rate would be closest to:

All other things the same,the unit product costs of high volume products will decrease and the unit product costs of low volume products will increase when switching from a traditional costing system to an activity-based costing system if:

Punches,Inc. ,manufactures and sells two products: Product H7 and Product Y2.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $17.80 per DLH.The direct materials cost per unit for each product is given below: The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity: If the company allocates all of its overhead based on direct labor-hours using its traditional costing method,the overhead assigned to each unit of Product Y2 would be closest to: