The following data has been procided by Toko Corpororation from its activity- ba

ID: 2539394 • Letter: T

Question

The following data has been procided by Toko Corpororation from its activity- base costing accounting system:

Supervisory Wages.......... $69,000

Factory Wages................. $173,000

Distribution of resource consumption across activity cost pools:

The other activity cost pools consists of the costs of idle capacity and organization-sustaining costs that are not assigned to products.

1. Determine the amount of supervisory wages and factory utilities costs that would be allocated to the machining activity cost pool.

2. Determine the total amonut of supervisory wages and factory utilities costs that would not be assigned to products.

Activity Cost Pools Product Changeovers Machining Other Total Supervising Wages 26% 67% 7% 100% Factory Utilities 62% 28% 10% 100%

Machining activity

Supervisory wages=$69000*67%=$46230

Factory utility costs=$173000*28%=$48440

2.other activity costs are not assigned to products. So such costs are:

Supervisory wages=$69000*7%=$4830

Factory utility costs=$173000*10%=$17300

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