Exercise 17-15(Static) Computing activity rates, overhead allocation, and cost per unit LO P3 Lucern...
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Accounting
Exercise Static Computing activity rates, overhead allocation, and cost per unit LO P
Lucern Company reports the following for its overhead cost for the year.
Activity Budgeted Cost Budgeted Activity Usage
Engineering support $ design changes
Electricity machine hours
Setup setups
Compute the activity rate for each activity using activitybased costing.
The companys Pro model used these activities to produce units during the year: design changes, machine hours, and setups. Allocate overhead cost to the Pro model and compute its overhead cost per unit using activitybased costing.
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