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Geortz Corporation manufactures two products: Product N49 an…

Posted byAnonymous July 13, 2021December 9, 2023

Questions

Geоrtz Cоrpоrаtion mаnufаctures two products: Product N49 and Product PC5. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products N49 and PC5.   Activity Cost Pool Activity Measure Total Cost Total Activity Machining Machine-hours $ 180,000 9,000 MHs Machine setups Number of setups $ 125,000 250 setups Product design Number of products $ 44,000 2 products General factory Direct labor-hours $ 260,000 10,000 DLHs   Activity Measure Product N49 Product PC5 Machine-hours 5,000 4,000 Number of setups 160 90 Number of products 1 1 Direct labor-hours 4,000 6,000   Using the ABC system, how much total manufacturing overhead cost would be assigned to Product N49? 

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Tags: Accounting, Basic, qmb,

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