Choose Your Desired Option(s)
1. Dawn Manufacturing applies manufacturing overhead at a rate of $40 per direct labor hour.
a. When during the year was this rate computed?
b. Describe briefly how this rate was computed.
Listed are the eight activity cost pools used by Charvez Corporation. Suggest an appropriate activity base for allocating each of the activity cost pools to products. (Consider each cost pool independently.)
a. Production set-up costs
b. Heating costs
c. Machinery power costs
d. Purchasing department costs
e. Maintenance costs
f. Design and engineering costs
g. Materials warehouse costs
h. Product inspection costs
4. Required information
[The following information applies to the questions displayed below.]
Select the appropriate cost system among Job order costing, Process costing, Activity-based costing used by the following businesses.
b. Walmart Inc.
5. Required information
[The following information applies to the questions displayed below.]
Select the appropriate cost system among Job order costing, Process costing, Activity-based costing used by the following businesses.
6. Temple Industrial’s production cost report for its Packaging Department reveals that the cost per equivalent unit started and completed in November was $165. The same report reveals that the cost per equivalent unit transferred out of the Packaging Department in November was $162.
Were November manufacturing costs per equivalent unit higher than, lower than, or the same as October costs per equivalent unit?
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