Problem 10-63 (Static) Activity-Based Reporting and Capacity (LO 10-4, 5) Hosmer Industries provides the following information about resources and usage: Unused Resources Capacity Cost Driver Volume Resources used Materials $ 4,800 6,400 pounds Power Setups 3,744 1,800 Purchasing Client assistance Supervision Facility cost 4,320 18,240 8,160 272 hours 62 setups 64 purchase orders 40 inquiries 256 labor-hours 6,720 3,360 square meters Resources supplied Materials $ 235,200 Power 42,912 Setups 57,600 Purchasing 50,400 Supervision Client assistance Facility cost 37,440 69,600 67,200 Sales revenue for Hosmer Industries is $720,000. Required: a. Prepare a traditional income statement. b. Prepare an activity-based income statement Complete this question by entering your answers in the tabs below. Prepare a traditional income statement. Traditional Income Statement Power Purchasing Sales revenue Setups Supervision Complete this question by entering your answers in the tabs below. Recured A Required Prepare a traditional income statement. Traditional Income Statement Materials Client assistance facility cost Materials To Required A Required B Prepare an activity-based income statement. Costs Unit Batch $ Activity Based Income Statement Resources Used Unused Resource Capacity Resources Supplied $ 0 $ Product and customer sustaining Capacity sustaining $ $ 05 0 $ Total costs S 05 $
Problem 10-63 (Static) Activity-Based Reporting and Capacity (LO 10-4, 5) Hosmer Industries provides the following information about resources and usage: Unused Resources Capacity Cost Driver Volume Resources used Materials $ 4,800 6,400 pounds Power Setups 3,744 1,800 Purchasing Client assistance Supervision Facility cost 4,320 18,240 8,160 272 hours 62 setups 64 purchase orders 40 inquiries 256 labor-hours 6,720 3,360 square meters Resources supplied Materials $ 235,200 Power 42,912 Setups 57,600 Purchasing 50,400 Supervision Client assistance Facility cost 37,440 69,600 67,200 Sales revenue for Hosmer Industries is $720,000. Required: a. Prepare a traditional income statement. b. Prepare an activity-based income statement Complete this question by entering your answers in the tabs below. Prepare a traditional income statement. Traditional Income Statement Power Purchasing Sales revenue Setups Supervision Complete this question by entering your answers in the tabs below. Recured A Required Prepare a traditional income statement. Traditional Income Statement Materials Client assistance facility cost Materials To Required A Required B Prepare an activity-based income statement. Costs Unit Batch $ Activity Based Income Statement Resources Used Unused Resource Capacity Resources Supplied $ 0 $ Product and customer sustaining Capacity sustaining $ $ 05 0 $ Total costs S 05 $
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Problem 10-63 (Static) Activity-Based Reporting and Capacity (LO 10-4, 5)
Hosmer Industries provides the following information about resources and usage:
Unused
Resources
Capacity
Cost Driver Volume
Resources used
Materials
$ 4,800
6,400 pounds
Power
Setups
3,744
1,800
Purchasing
Client assistance
Supervision
Facility cost
4,320
18,240
8,160
272 hours
62 setups
64 purchase orders
40 inquiries
256 labor-hours
6,720
3,360 square meters
Resources supplied
Materials
$ 235,200
Power
42,912
Setups
57,600
Purchasing
50,400
Supervision
Client assistance
Facility cost
37,440
69,600
67,200
Sales revenue for Hosmer Industries is $720,000.
Required:
a. Prepare a traditional income statement.
b. Prepare an activity-based income statement
Complete this question by entering your answers in the tabs below.
Prepare a traditional income statement.
Traditional Income Statement
Power
Purchasing
Sales revenue
Setups
Supervision
Complete this question by entering your answers in the tabs below.
Recured A Required
Prepare a traditional income statement.
Traditional Income Statement
Materials
Client assistance
facility cost
Materials
To
Required A
Required B
Prepare an activity-based income statement.
Costs
Unit
Batch
$
Activity Based Income Statement
Resources
Used
Unused
Resource
Capacity
Resources
Supplied
$
0 $
Product and customer sustaining
Capacity sustaining
$
$
05
0 $
Total costs
S
05
$
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