Answer the following question(s)using the information below.Ernsting Printers has contracts to complete weekly supplements required by forty-six customers.For the year 2018, manufacturing overhead cost estimates total $420,000 for an annual production capacity of 12 million pages.For 2018 Ernsting Printers has decided to evaluate the use of additional cost pools.After analyzing manufacturing overhead costs, it was determined that number of design changes, setups, and inspections are the primary manufacturing overhead cost drivers.The following information was gathered during the analysis:
During 2018, two customers, Wealth Managers and Health Systems, are expected to use the following printing services:

-Assuming activity-cost pools are used, what are the activity-cost driver rates for design changes, setups, and inspections cost pools?
A)$200 per change, $64 per setup, $5 per inspection
B)$180 per change, $76 per setup, $4 per inspection
C)$150 per change, $64 per setup, $4 per inspection
D)$180 per change, $76 per setup, $5 per inspection
E)$200 per change, $5 per setup, $64 per inspection

Question

Answer the following question(s)using the information below.Ernsting Printers has contracts to complete weekly supplements required by forty-six customers.For the year 2018, manufacturing overhead cost estimates total $420,000 for an annual production capacity of 12 million pages.For 2018 Ernsting Printers has decided to evaluate the use of additional cost pools.After analyzing manufacturing overhead costs, it was determined that number of design changes, setups, and inspections are the primary manufacturing overhead cost drivers.The following information was gathered during the analysis:
  During 2018, two customers, Wealth Managers and Health Systems, are expected to use the following printing services:
 
-Assuming activity-cost pools are used, what are the activity-cost driver rates for design changes, setups, and inspections cost pools?
A)$200 per change, $64 per setup, $5 per inspection 
B)$180 per change, $76 per setup, $4 per inspection 
C)$150 per change, $64 per setup, $4 per inspection 
D)$180 per change, $76 per setup, $5 per inspection 
E)$200 per change, $5 per setup, $64 per inspection

Quizplus · Accepted Answer

The Answer of Answer the following question(s)using the information below.Ernsting Printers has contracts to complete weekly supplements required by forty-six customers.For the year 2018, manufacturing overhead cost estimates total $420,000 for an annual production capacity of 12 million pages.For 2018 Ernsting Printers has decided to evaluate the use of additional cost pools.After analyzing manufacturing overhead costs, it was determined that number of design changes, setups, and inspections are the primary manufacturing overhead cost drivers.The following information was gathered during the analysis:
  During 2018, two customers, Wealth Managers and Health Systems, are expected to use the following printing services:
 
-Assuming activity-cost pools are used, what are the activity-cost driver rates for design changes, setups, and inspections cost pools?
A)$200 per change, $64 per setup, $5 per inspection 
B)$180 per change, $76 per setup, $4 per inspection 
C)$150 per change, $64 per setup, $4 per inspection 
D)$180 per change, $76 per setup, $5 per inspection 
E)$200 per change, $5 per setup, $64 per inspection

Answer the Following Question(s)using the Information Below