(Appendix 6A)Hasty Hardwood Floors installs oak and other hardwood floors in homes and businesses.The company uses an activity-based costing system for its overhead costs.The company has provided the following data concerning its annual overhead costs and its activity based costing system: The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs.
The amount of activity for the year is as follows: A "square" is a measure of area that is roughly equivalent to 1, 000 square feet.
Required:
a.Prepare the first-stage allocation of overhead costs to the activity cost pools by filling in the table below: b.Compute the activity rates (i.e. , cost per unit of activity)for the Installing Floors and Job Support activity cost pools by filling in the table below: c.Compute the overhead cost, according to the activity-based costing system, of a job that involves installing 3.4 squares.

Question

(Appendix 6A)Hasty Hardwood Floors installs oak and other hardwood floors in homes and businesses.The company uses an activity-based costing system for its overhead costs.The company has provided the following data concerning its annual overhead costs and its activity based costing system:

The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs.
The amount of activity for the year is as follows:

A "square" is a measure of area that is roughly equivalent to 1, 000 square feet.
Required:
a.Prepare the first-stage allocation of overhead costs to the activity cost pools by filling in the table below:

b.Compute the activity rates (i.e. , cost per unit of activity)for the Installing Floors and Job Support activity cost pools by filling in the table below:

c.Compute the overhead cost, according to the activity-based costing system, of a job that involves installing 3.4 squares.

Quizplus · Accepted Answer

The Answer of (Appendix 6A)Hasty Hardwood Floors installs oak and other hardwood floors in homes and businesses.The company uses an activity-based costing system for its overhead costs.The company has provided the following data concerning its annual overhead costs and its activity based costing system: The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The amount of activity for the year is as follows: A "square" is a measure of area that is roughly equivalent to 1, 000 square feet. Required: a.Prepare the first-stage allocation of overhead costs to the activity cost pools by filling in the table below: b.Compute the activity rates (i.e. , cost per unit of activity)for the Installing Floors and Job Support activity cost pools by filling in the table below: c.Compute the overhead cost, according to the activity-based costing system, of a job that involves installing 3.4 squares.

(Appendix 6A)Hasty Hardwood Floors Installs Oak and Other Hardwood Floors