Wu Manufacturing produces two keyboards, one for laptop computers and the other for desktop computers. The production

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Wu Manufacturing produces two keyboards, one for laptop computers and the other for desktop computers. The production process is automated, and the company has found activity-based costing useful in assigning overhead costs to its products. The company has identified five major activities involved in producing the keyboards.

Wu Manufacturing produces two keyboards, one for laptop computers and

Activity measures for the two kinds of keyboards follow:

Wu Manufacturing produces two keyboards, one for laptop computers and

Required
a. Compute the cost per unit of laptop and desktop keyboards, assuming that Wu made 500 units of each type of keyboard. Round your computation to two decimal points. 

b. Explain why laptop keyboards cost more to make even though they have less material cost and are smaller than desktop keyboards.

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Related Book For  book-img-for-question

Fundamental Managerial Accounting Concepts

ISBN: 978-1259569197

8th edition

Authors: Thomas Edmonds, Christopher Edmonds, Bor Yi Tsay, Philip Olds

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