Conlon Enterprises reports the following information about resources

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter4: Activity-based Costing
Section: Chapter Questions
Problem 4BE: Activity-based costing: selling and administrative expenses Jungle Junior Company manufactures and...
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Conlon Enterprises reports the following information about resources.

 

                                                                                Cost Driver Rate                    Cost Driver Volume

Resources used

     Setups                                                    $  395 per run                                     450 runs

     Clerical                                                          35 per run                                 3,000 pages typed

Resources supplied

      Setups                                                   $181,200

      Clerical                                                    113,900

 

 

Sales revenue totaled $340,000.

 

Required:

  1. Prepare an activity-based income statement.

                                       Activity-Based Income Statement

                                                   Resources Used                 Unused Resource Capacity         Resources Supplied

Sales revenue                          _____________                 _____________________          ________________        $  340,000

Costs                                         _____________                 _____________________          ________________

  Volume related – Clerical    _____________                ______________________        ________________

  Batch related – Setups        _____________                  ______________________       _________________

Total costs                               _____________                 ______________________        _________________

Operating profits                    _____________                _______________________      _________________

 

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