Everlast Co Using ABC, How Much Total Overhead Is Assigned to the Plant

question 15

Multiple Choice

Everlast Co. manufactures a variety of drill bits. The company's plant is partially automated. The budget for the year includes $432,000 payroll for 4,800 direct labor-hours. Listed below is cost driver information used in the product-costing system:A current product order has the following requirements: $\begin{array}{lrr}\text { Machine setups } & 8 & \text { setups } \\\text { Materials handling } & 606 & \text { barrels } \\\text { Quality inspections } & 80 & \text { inspections } \\\text { Machine hours } & 830 & \text { machine hours } \\\text { Direct labor hour } & 336 & \text { hours }\end{array}$
Using ABC, how much total overhead is assigned to the order?

• A)$42,160.
• B)$43,740.
• C)$44,268.
• D)$44,432.
• E)$45,993.

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Definitions:

Resistance to Change

The reluctance or refusal to adapt to changes in the workplace or environment, which can stem from various personal or organizational reasons.

Refreezing

The final stage in the Lewin's change model where new behaviors or processes are solidified into the organization's culture after a change has been implemented.

Change Program

A planned initiative within an organization aimed at improving current processes or implementing major changes to systems, culture, or procedures to achieve specific goals.

Resistance to Change

The opposition or pushback by individuals or groups within an organization against modifications to established procedures, systems, or structures.