Yoke Corporation has provided the following data from its activity-based costing
ID: 2444792 • Letter: Y
Question
Yoke Corporation has provided the following data from its activity-based costing accounting system: Distribution of Resource Consumption across Activity Cost Pools: The ''Other'' activity cost pool consists of the costs of idle capacity and organization-sustaining costs that are not assigned to products. Required: a. Determine the total amount of supervisory wages and factory utilities costs that would be allocated to the unit Processing activity cost pool. (Omit the ''S'' sign in your response.) b. Determine the total amount of supervisory wages and factory utilities costs that would NOT be assigned to products. (Omit the ''S'' sign in your response.) Total amount $Explanation / Answer
(a) Unit
Processing
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Supervisory wages 87600 x 42%= 36792
Factory utilities 369000 x 60% = 221400
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Total allocated cost 258192
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(b)
Other cost comprises idle capacity costs and therefore would not require any allocation to products
The amount that would not be allocated are the following :-
superisory wages 3% 87600 x 3%= 2628
Factory utilities 5% 369000 x 5%=18450
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