Answer Happy

Current Attempt in Progress a Sheridan, Inc. produces two types of gas grills: a family model and a deluxe model. Sheridan's controller has decided to use a plantwide overhead rate based on direct labor costs. The president of the company recently heard of activity-based costing and wants to see how the results would differ if this system were used. Two activity cost pools were developed: machining and machine setup Presented below is information related to the company's operations: Family Model Deluxe Model $76,500 $153,000 Direct labor costs Machine he hours Setup hours 2,000 2,000 200 800 Total estimated overhead costs are $459.000. Overhead cost allocated to the machining activity cost pool is $275,400 and $183,600 is allocated to the machine setup activity cost pool.
(c) Determine the difference in allocation between the two approaches. Family Model Deluxe Model Traditional $ ABC $ $ Difference $ $ $ Save for Later Attempts: 0 of 1 used Submit Answer