Please do not give solution in image format thanku Q1)Q2)Use the following information to answer the questions below.Poodle Company manufactures two products, Mini A and Maxi B. Poodle's overhead costs consist ofsetting up machines- $800,000; machining- $2,000,000; and inspecting- 5600,000. Information on the twoproducts is:Direct labour hoursMachine setupsMachine hoursMini A25,00040015,00060024,000Inspections800Calculate the overhead rate using the traditional (plant-wide) approach?Calculate the overhead rate using the activity-based costing approach?Maxi B26,000700

Under traditional costing we used to allocate overhead to each product based on one single cost…

Q1) Q2) Use the following information to answer the questions below. Poodle Company manufactures two products, Mini A and Maxi B. Poodle's overhead costs consist of setting up machines- $800,000; machining- $2,000,000; and inspecting- $600,000. Information on the two products is: Direct labour hours Machine setups Machine hours Mini A 25,000 400 15,000 600 24,000 Inspections 800 Calculate the overhead rate using the traditional (plant-wide) approach? Calculate the overhead rate using the activity-based costing approach? Maxi B 26,000 700

Q1) Q2) Use the following information to answer the questions below. Poodle Company manufactures two products, Mini A and Maxi B. Poodle's overhead costs consist of setting up machines- $800,000; machining- $2,000,000; and inspecting- $600,000. Information on the two products is: Direct labour hours Machine setups Machine hours Mini A 25,000 400 15,000 600 24,000 Inspections 800 Calculate the overhead rate using the traditional (plant-wide) approach? Calculate the overhead rate using the activity-based costing approach? Maxi B 26,000 700

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 1EA: Steeler Towel Company estimates its overhead to be $250,000. It expects to have 100,000 direct labor...

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