The Capper-Ketchum Act prohibits disciplinary action against employees for union-related activity

From the information presented in Table 4-6, calculate the following ratios for the Springfield Power Co

i. current ratio ii. acid test ratio iii. average collection period iv. inventory turnover v. gross profit margin vi. operating profit margin vii. net profit margin viii. total asset turnover

Elfie Enterprises uses three cost pools to allocate manufacturing overhead costs. The following estimates were provided for the coming year

Manufacturing Cost Pool Overhead Costs Cost driver Activity level Supervision of direct labor $320,000 Direct labor hours 800,000 Machine maintenance $120,000 Machine hours 960,000 Facility rent $200,000 Square feet of area 100,000 Total overhead costs $640,000 The accounting records show the Lacio Job consumed the following resources. Cost driver Actual level Direct labor hours 200 Machine hours 1,600 Square feet of area 50 Required: a. If direct labor hours are considered the only manufacturing overhead cost driver, compute: 1. the single cost driver rate for Elfie Enterprises; and 2. the amount of manufacturing overhead costs allocated to the Lacio job. b. If Elfie Enterprises uses the three cost pools to allocate manufacturing overhead costs, compute: 1. the cost driver rate for each of the three overhead activities above; and 2. the amount of manufacturing overhead costs allocated to the Lacio job. c. Review the amount of manufacturing overhead costs allocated in (a2 ) and (b2 ). Why do the two estimates differ? Which method of allocation probably best estimates the actual manufacturing overhead costs used? Why?.