Kuiz 2

Activity-based costing problem

1) calculate the cost of each product using a plant-wide rate based on machine
hours?

alphas betas Zebas

43 x 1000 =43000 3400 x 30 = 102000 600 x 25 = 15000

Alphas 43000
Betas 102000
Zebas 15000
160 000

Kadar overhead 960 000

160 000
=6

2) Calculate the activity cost rates for A) setups, b) engineering changes c)

inspection and packing

machine

170 000
34

=5000

Engineering changes

320 000
400
= 800

Inspection and packing

470 000
5000

=94

3) Cost out the three product using an activity-based costing system.

Alphas betas zebas

d.material 680 000 1020000 438 000
d.labor 900 000 1904000 510 000
machine
setup 25000 45000 100 000
engineering
changes 112000 6400 201 600
inspection
packing 94000 319 600 56 400

1811000 3295000 130 6000

1000 3400 600

1.811 969.118 2176.67