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US Weygandt, Managerial Accounting, se Help I System Announcements CALCULATOR PRINTER VERSION ES Exercise 4-14 al-a2, b (Video) Venus Creations sells window treatments (shades, blinds, and awnings) to both commercial and residential customers. The following information relates to its budgeted operation the current year. Commercial Residential Revenues $298,450 $497,000 Direct materials costs $35,000 $50,000 Direct labor costs 100,000 300,000 Overhead costs 88,450 223,450 177,000 527,000 Operating Income (loss) $75,000 $(30,000) The controller, Peggy Kingman, is concerned about the residential product line. She cannot understand why this line is not more profitable given that the installations of window coverings are less complex for residential customers. In addition, the residential client base resides in close proximity to the company office, so travel costs are not as expensive per dient visit for residential customers. As a result, she has decided to take a closer look at the overhead costs assigned to the two product lines to determine whether a more accurate product costing model can be developed. Here are the three activity cost pools and related information she developed Activity Cost Pools Scheduling and travel Setup time Supervision Estimated Overhead $88.450 117,000 60,000 Cost Drivers Hours of travel Number of setups Direct labor cost Estimated Use of Cost Drivers per Product Commercial Residential Scheduling and travel 800 650 Setup time 400 250 Comnute the activity.haced overhead rates for each of the three rost non. Round overheadle for sumervision to decimal nach to search C

Answer 1

Commerciel Resid Actuity based cosling Tolal 88430 48.800 39 6.50 (Uschedal (800:boo) @ 61 ) 7200 Duo 2) Set uptime 117,000 45000 2 (400:2.70 @ 1% / :) Seeper ceision 60,000 Ispoo 40000 (1,06 the المصدره , rcourt Total overheed 135,800 129,65 CS Scanned with CamScanner