Eric Parker has been studying his department's profitability reports for the past six months. He has just completed a managerial accounting course and is beginning to question the company's approach to allocating overhead to products based on machine hours. The current department overhead budget of $999,470 is based on 46,500 machine hours. In an initial analysis of overhead costs, Eric Parker has identified the following activity cost pools.

Cost Pool Expected Cost Expected Activities
Product assembly $427,800 46,500 Machine hours
Machine setup and calibration 343,750 2,750 setups
Product inspection 123,500 1,300 batches
Raw materials storage 104,420 454,000 pounds
$999,470
Eric Parker is taking the next step in his exploration of activity-based costing and wants to examine the overhead costs that would be allocated to two of the department's four products. He has gathered the following budget information about each product.

Driver Usage Component 3F5 ComponentT76
Machine hours 1,280 9,600
Setups 40 20
Batches 15 10
Pounds of raw materials 10,000 10,000
(a) Calculate the total overhead allocated to each component under the traditional method using machine hours as the overhead application base.

(b) Calculate the total overhead allocated to each component under activity-based costing.

What is product differentiation, and how can it be achieved ? what is product positioning? what conditions would head to head product positioning be appropriate?

Select the correct answerwhat is the responsibility of each of the twelve federal reserve's banks in their districts? a. they set the prime rateob. they monitor functioning of banks in their through onsite and offsite reviewsc. they assess taxes in their destnictd. they write fiscal policies

The following selected circumstances relate to pending lawsuits for erismus, inc. erismus’s fiscal year ends on december 31. financial statements are issued in march 2019. erismus prepares its financial statements according to u. s. gaap. required: indicate the amount erismus would record as an asset, liability, or not accrued in the following circumstances. 1. erismus is defending against a lawsuit. erismus's management believes the company has a slightly worse than 50/50 chance of eventually prevailing in court, and that if it loses, the judgment will be $1,000,000. 2. erismus is defending against a lawsuit. erismus's management believes it is probable that the company will lose in court. if it loses, management believes that damages could fall anywhere in the range of $2,000,000 to $4,000,000, with any damage in that range equally likely. 3. erismus is defending against a lawsuit. erismus's management believes it is probable that the company will lose in court. if it loses, management believes that damages will eventually be $5,000,000, with a present value of $3,500,000. 4. erismus is a plaintiff in a lawsuit. erismus's management believes it is probable that the company eventually will prevail in court, and that if it prevails, the judgment will be $1,000,000. 5. erismus is a plaintiff in a lawsuit. erismus’s management believes it is virtually certain that the company eventually will prevail in court, and that if it prevails, the judgment will be $500,000.