Provenzano corporation manufactures two products: product b56z and product d32n. the company is considering implementing an activity-based costing (abc) system that allocates its manufacturing overhead to four cost pools. the following additional information is available for the company as a whole and for products b56z and d32n. activity cost pool activity measure total cost total activity machining machine-hours $ 330,000 15,000 mhs machine setups number of setups $ 50,000 100 setups product design number of products $ 88,000 2 products order size direct labor-hours $ 280,000 10,000 dlhs activity measure product b56z product d32n machine-hours 6,000 9,000 number of setups 80 20 number of products 1 1 direct labor-hours 6,000 4,000 what is the activity rate for the machining activity cost pool

Estimated manufacturing overhead rate= $22 per machine hour

Explanation:

Giving the following information:

Provenzano Corporation manufactures two products: Product B56Z and Product D32N. The company is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools.

Machining:

Total Cost= 330,000

Total Activity:  Machine-hours= 15,000

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 330,000/15,000= $22 per machine hour

you will have $2593.74 in 10 years if you set aside $1,000 at 10%

you will have $9321.91 in 20 years if you set aside $2000 at 8%

you will have $1469.32 in 5 years if you set aside $1000 at 8%

you will have $1296.87 in 10 years if you set aside $500 at 10%

you will have $239.66 in 15 years if you set aside $100 at 6%

you will have $4660.96 in 20 years if you set aside $1000 at 8%