overhead 30000

driver:direct labor hrs 2500

overhead rate ($/unit of direct labor) 12

Prod A Prod B
DM 20 30
DL 40 50
Overhead 24 30
total unit cost 84 110

24000 6000
30000

Overhead activity rates

Setup 500
Parts 0.5
inspections 120

Prod A Prod B
Overheads Setup 4000 6000
Parts 5000 3000
inspections 4800 7200
Total overhead 13800 16200
overhead cost per unit 13.8 81
DM 20 30
DL 40 50
cost/ unit 73.8 161
Activity Cost Activity usag activity rate
Clerical support 63000 360 175
facility services 18600 2400 7.75
client consultation 90000 36 2500
171600

Litigation
Activity Activity us activity rate allocated cost
clerical support 192 175 33600
facility services 800 7.75 6200
client consultation 30 2500 75000
114800
mediation 1640
Activity Activity us activity rate allocated cost
clerical support 168 175 29400
facility services 1600 7.75 12400
client consultation 6 2500 15000
56800
710
Activity Cost Activity driver Activity usage activity rate
R&D 300000 product type 5 60000
marketing 380000 product lines 2 190000
General admin 750000 production units 37500 20
Total corporate overhead 1430000

Purchasing 120000 purchase order 300 400

materials handling 125000 part number 850000 0.147059
Machine setup 180000 batches 120 1500
supervision 225000 DL 150000 1.5
quality control 195000 units 37500 5.2
packing and shipping 210000 shipments 400 525
machine depn 165000 machine hrs 137500 1.2
plant 240000 prod units 37500 6.4
miscellaneous 110000 machine hrs 137500 0.8
Total manufacturing overhead 1570000
tc 3000000

1a
overhead 3000000
driver:direct labor hrs 150000
overhead rate ($/unit of direct la 20

ODD TDD
DM 88 111
DL 64 64
Overhead 80 80
total unit cost 232 255
SP/unit 300 330
Profit/unit 68 75
Total profit 2637500
activity rate 1b
ODD TDD
Activity Activity usag activity rate allocated cosActivity usage
R&D 1 60000 60000 4
marketing 1 190000 190000 1
General admin 25000 20 500000 12500
Total corporate overhead

Purchasing 90 400 36000 210

materials handling 450000 0.147058824 66176.4706 400000
Machine setup 24 1500 36000 96
supervision 100000 1.5 150000 50000
quality control 25000 5.2 130000 12500
packing and shipping 80 525 42000 320
machine depn 75000 1.2 90000 62500
plant 25000 6.4 160000 12500
miscellaneous 75000 0.8 60000 62500
Total manufacturing overhead
Total overhead 1520176.47
Total overhead/unit 60.8070588

ODD TDD
DM 88 111
DL 64 64
Overhead 60.8 118.4
total unit cost 212.8 293.4
SP/unit 300 330
Profit/unit 87.2 36.6
Total profit 2637500
 Activity Cost Activity driver
R&D 300000 machine hrs
allocated cost marketing 380000 machine hrs
240000 General admin 750000 machine hrs
190000 Total corporate overhead 1430000
250000
Purchasing 120000 DM
materials handling 125000 DM
84000 Machine setup 180000 machine hrs
58823.53 supervision 225000 machine hrs
144000 quality control 195000 machine hrs
75000 packing and shipping 210000 machine hrs
65000 machine depn 165000 machine hrs
168000 plant 240000 machine hrs
75000 miscellaneous 110000 machine hrs
80000 Total manufacturing overhead 1570000
50000 tc 3000000

1479824
118.3859
Activity usage activity rate ODD
137500 2.181818 Activity Activity usage activity rate allocated c
137500 2.763636 R&D 75000 2.181818182 163636.4
137500 5.454545 marketing 75000 2.763636364 207272.7
General admin 75000 5.454545455 409090.9
Total corporate overhead
3587500 0.033449
3587500 0.034843 Purchasing 2200000 0.033449477 73588.85
137500 1.309091 materials handling 2200000 0.034843206 76655.05
137500 1.636364 Machine setup 75000 1.309090909 98181.82
137500 1.418182 supervision 75000 1.636363636 122727.3
137500 1.527273 quality control 75000 1.418181818 106363.6
137500 1.2 packing and shipping 75000 1.527272727 114545.5
137500 1.745455 machine depn 75000 1.2 90000
137500 0.8 plant 75000 1.745454545 130909.1
miscellaneous 75000 0.8 60000
Total manufacturing overhead
1652971

ODD TDD
DM 88 111
DL 64 64
Overhead 66.1 107.8
total unit cost 218.1 282.8
SP/unit 300 330
Profit/unit 81.9 47.2
Total profit 2637500
TDD
Activity us allocated cost
62500 136363.6
62500 172727.3
62500 340909.1 1430000

1387500 46411.15
1387500 48344.95
62500 81818.18
62500 102272.7
62500 88636.36
62500 95454.55
62500 75000
62500 109090.9
62500 50000

1347029 3000000