The total factory overhead for Bardot Marine Company is budgeted for the year at $646,800, divided into four activities: fabrication, $288,000; assembly, $114,000; setup, $132,300; and inspection, $112,500. Bardot Marine manufactures two types of boats: speedboats and bass boats. The activity-base usage quantities for each product by each activity are as follows: Fabrication 4,500 dlh 13,500 18,000 dlh Setup 32 setups 238 270 setups Each product is budgeted for 3,000 units of production for the year. a. Determine the activity rates for each activity. per direct labor hour per direct labor hour Speedboat Bass boat Fabrication Assembly Setup Inspection Speedboat $ $ $ Bass boat Assembly 14,250 dlh 4,750 19,000 dlh per setup per inspection Inspection b. Determine the activity-based factory overhead per unit for each product. Round to the nearest whole dollar. per unit per unit 56 inspections 394 450 inspections

The total factory overhead for Bardot Marine Company is budgeted for the year at $646,800, divided into four activities: fabrication, $288,000; assembly, $114,000; setup, $132,300; and inspection, $112,500. Bardot Marine manufactures two types of boats: speedboats and bass boats. The activity-base usage quantities for each product by each activity are as follows: Fabrication 4,500 dlh 13,500 18,000 dlh Setup 32 setups 238 270 setups Each product is budgeted for 3,000 units of production for the year. a. Determine the activity rates for each activity. per direct labor hour per direct labor hour Speedboat Bass boat Fabrication Assembly Setup Inspection Speedboat $ $ $ Bass boat Assembly 14,250 dlh 4,750 19,000 dlh per setup per inspection Inspection b. Determine the activity-based factory overhead per unit for each product. Round to the nearest whole dollar. per unit per unit 56 inspections 394 450 inspections

Name: Activity-Based Costing: Factory Overhead CostsThe total factory overh
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Description: Activity-Based Costing: Factory Overhead CostsThe total factory overhead for Bardot Marine Company is budgeted for the year at $646,800, divided into four activities: fabrication, $288,000; assembly, $114,000;setup, $132,300; and inspection, $112,50

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 3BE: Activity-based costing: factory overhead costs The total factory overhead for Bardot Marine Company...

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