Potterii sells its products to large box stores and recently added a retail line of products to sell directly to consumers. These estimates are to be used in determining the overhead allocation rate for ABC: Estimated Cost Pool Cost Driver Overhead Wholesale Retail Ordering Number of Orders $88,000 180,000 40,000 Machine Setups Number of Setups 102,000 200,000 140,000 Inspection Number of Inspections 54,000 40,000 14,000 What would be the predetermined rate for each cost pool? Round "Rate" answers to two decimal places. Estimated Total Overhead Activity Rate Cost Pool Cost Driver per order Number of Orders $88,000 Ordering per setup 102,000 Machine Setups Number of Setups per inspection 54,000 Number of Inspections Inspection
Potterii sells its products to large box stores and recently added a retail line of products to sell directly to consumers. These estimates are to be used in determining the overhead allocation rate for ABC: Estimated Cost Pool Cost Driver Overhead Wholesale Retail Ordering Number of Orders $88,000 180,000 40,000 Machine Setups Number of Setups 102,000 200,000 140,000 Inspection Number of Inspections 54,000 40,000 14,000 What would be the predetermined rate for each cost pool? Round "Rate" answers to two decimal places. Estimated Total Overhead Activity Rate Cost Pool Cost Driver per order Number of Orders $88,000 Ordering per setup 102,000 Machine Setups Number of Setups per inspection 54,000 Number of Inspections Inspection
Essentials of Business Analytics (MindTap Course List)
2nd Edition
ISBN:9781305627734
Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Chapter2: Descriptive Statistics
Section: Chapter Questions
Problem 3P: Ohio Logistics manages the logistical activities for firms by matching companies that need products...
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