Activity Rates Zapato Company produces two types of boots: vaquero and vaquera. There are four activities associated with the two products. Drivers for the four activities are as follows: Vaquero Vaquera Cutting hours 2,100 5,400 Assembly hours 2,650 4,650 Inspection hours 700 2,430 Rework hours 250 450 The following activity data have been collected: Cutting $165,000 Assembling $328,500 Inspecting $50,080 Reworking $52,500 Required: Calculate the activity rates that would be used to assign costs to each product. If required, round your answers to the nearest cent. Cutting: $fill in the blank 1 per cutting hour Assembling: $fill in the blank 2 per assembling hour Inspecting: $fill in the blank 3 per inspecting hour Reworking: $fill in the blank 4 per reworking hour
Activity Rates Zapato Company produces two types of boots: vaquero and vaquera. There are four activities associated with the two products. Drivers for the four activities are as follows: Vaquero Vaquera Cutting hours 2,100 5,400 Assembly hours 2,650 4,650 Inspection hours 700 2,430 Rework hours 250 450 The following activity data have been collected: Cutting $165,000 Assembling $328,500 Inspecting $50,080 Reworking $52,500 Required: Calculate the activity rates that would be used to assign costs to each product. If required, round your answers to the nearest cent. Cutting: $fill in the blank 1 per cutting hour Assembling: $fill in the blank 2 per assembling hour Inspecting: $fill in the blank 3 per inspecting hour Reworking: $fill in the blank 4 per reworking hour
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter9: Standard Costing: A Functional-based Control Approach
Section: Chapter Questions
Problem 14E: Zoller Company produces a dark chocolate candy bar. Recently, the company adopted the following...
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Activity Rates
Zapato Company produces two types of boots: vaquero and vaquera. There are four activities associated with the two products. Drivers for the four activities are as follows:
| Vaquero | Vaquera | |||
| Cutting hours | 2,100 | 5,400 | ||
| Assembly hours | 2,650 | 4,650 | ||
| Inspection hours | 700 | 2,430 | ||
| Rework hours | 250 | 450 |
The following activity data have been collected:
| Cutting | $165,000 |
| Assembling | $328,500 |
| Inspecting | $50,080 |
| Reworking | $52,500 |
Required:
Calculate the activity rates that would be used to assign costs to each product. If required, round your answers to the nearest cent.
| Cutting: | $fill in the blank 1 per cutting hour |
| Assembling: | $fill in the blank 2 per assembling hour |
| Inspecting: | $fill in the blank 3 per inspecting hour |
| Reworking: | $fill in the blank 4 per reworking hour |
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