QUESTION 10 Lawn and Order Company manufactures industrial sprinklers and uses an activity-based costing system to allocate overhead to its products. Each sprinkler consists of 6 separate parts...


QUESTION 10<br>Lawn and Order Company manufactures industrial sprinklers and uses an activity-based costing system<br>to allocate overhead to its products. Each sprinkler consists of 6 separate parts totaling $3 in direct<br>materials, $2 in direct labor and requires 1 hour of machine time to produce. Additional information<br>follows<br>Overhead Cost Pools<br>Pre-determined Overhead Rate<br>Materials handling<br>Number of parts $0.40 per part<br>Machining Machine hours<br>$1.50 per machine hour<br>Assembling<br>Inspecting<br>Number of parts $0.40 per part<br>Number of finished units $0.30 per finished unit<br>Determine the amount of overhead allocated to each sprìnkler. Round your answer to 2 decimal places<br>

Extracted text: QUESTION 10 Lawn and Order Company manufactures industrial sprinklers and uses an activity-based costing system to allocate overhead to its products. Each sprinkler consists of 6 separate parts totaling $3 in direct materials, $2 in direct labor and requires 1 hour of machine time to produce. Additional information follows Overhead Cost Pools Pre-determined Overhead Rate Materials handling Number of parts $0.40 per part Machining Machine hours $1.50 per machine hour Assembling Inspecting Number of parts $0.40 per part Number of finished units $0.30 per finished unit Determine the amount of overhead allocated to each sprìnkler. Round your answer to 2 decimal places

Jun 11, 2022
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