Blackwelder Co. manufactures a variety of electric razors used by both men and women. The company's plant is partially automated. The company uses an activity-based cost system. Listed below is cost driver information used in the product-costing system: Two current product orders had the following requirements: Required:
1. Using ABC costing, how much overhead is assigned to the order for men's razors?
2. Using ABC costing, how much overhead is assigned to the order for women's razors?

Question

Blackwelder Co. manufactures a variety of electric razors used by both men and women. The company's plant is partially automated. The company uses an activity-based cost system. Listed below is cost driver information used in the product-costing system:  Two current product orders had the following requirements:  Required:
1. Using ABC costing, how much overhead is assigned to the order for men's razors?
2. Using ABC costing, how much overhead is assigned to the order for women's razors?

Quizplus · Accepted Answer

The Answer of Blackwelder Co. manufactures a variety of electric razors used by both men and women. The company's plant is partially automated. The company uses an activity-based cost system. Listed below is cost driver information used in the product-costing system:  Two current product orders had the following requirements:  Required:
1. Using ABC costing, how much overhead is assigned to the order for men's razors?
2. Using ABC costing, how much overhead is assigned to the order for women's razors?