Propose two recommendations related to the overcrowding

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Reference no: EM133903410

Problem

The activity for each job is as follows: Total Cost Client Rate X Client and Client Z Activity Activity Activity Activity Activity Product Tests: $ 2,000 ÷ 200 = $ 10 100 Tests 50 Tests 5 Packaging Tests $ 8,000 ÷ 100 = $ 80 10 hours 30 hours 60 hours Inspection $ 10,000 ÷ 50 = $ 200 5 20 25 $ 20,000 $ 35,500 $ 32,500 $ 33,000 sale price: $ 35,500 $ 32,500 $ 32,500 $ 33,000 Taking into account the activity for each work, determines and compares the gross gain using the general rate and the rate based on activities (ABC). Compare the gross gain for each method and answer, is the price charged to each customer? Get the instant assignment help. That is, did you generate gross gain when you charged each of the clients? Propose two recommendations on the allocation of indirect costs using the rate based on activities. Propose two recommendations related to the overcrowding or sub-assignment of indirect costs when the general rate is used.

Reference no: EM133903410

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