Rounders Company Used the Following Information When Determining the Appropriate

question 25

Essay

Rounders Company used the following information when determining the appropriate overhead rates to use in its two production departments: $\begin{array}{lrr}&\text { Fabrication }&\text {Assembly }\\\text { Budgeted overhead } & £ 350,000 & £ 500,000 \\\text { Budgeted activity: } & & \\\text { Direct labour hours (DLH) } & 14,000 & 12,500 \\\text { Machine hours (M H) } & 20,000 & 25,000 \\\text { Units projected } & 7,000 & 4,000\\\\\text { Actual operating results were as follows: }\\ \text { Actual overhead cost } & £ 355,000 & £ 505,000 \\\text { Actual activity: } & & \\\text { Direct labour hours (DLH) } & 13,500 & 13,000 \\\text { Machine hours (M H) } & 19,000 & 27,000\end{array}$
Two of the products in the product line were as follows: $\begin{array}{llc}&\text { Product } 1&\text { Product } 2\\\text { Prime costs } & £ 900,000 & £ 1,200,000 \\\text { Activity: } & & \\\text { Fabrication } & 5,000 \mathrm{DLH} & 6,000 \mathrm{DLH} \\\text { Assembly } & 9,000 \mathrm{MH} & 12,000 \mathrm{MH} \\\text { Units produced } & 7,000 & 4,000\end{array}$
a.Assume that Rounders applies overhead using a plantwide rate based on direct labour hours. Determine the unit cost of Products 1 and 2.
b.Assume that Rounders uses direct labour hours to apply overhead in the Fabrication Department and machine hours to apply overhead in the Assembly Department. Determine the unit cost of Products 1 and 2.

Understand the role of socio-economic factors in individual development.

Acknowledge the influence of peer groups and social environments on personal development.

Embrace psychological and societal mechanisms that contribute to individual differences.

Understand the historical origins and development of psychological testing and assessment.

---

Definitions:

Arterial Blood Gas

A test that measures the oxygen and carbon dioxide levels in arterial blood, often used to assess lung function and gas exchange efficiency.

Intravenous Site

The specific location on the body where a needle is inserted into a vein for the purpose of delivering medications or fluids.

Infiltrated

Pertaining to a substance or fluid passing stealthily into a tissue, organ, or system, often used in medical contexts.

Antecubital Area

The area of the body located at the front of the elbow where veins are often prominent, making it a common site for the withdrawal of venous blood samples.