0 Data Table $ Predetermined Budgeted Cost of Overhead Activity Activity Allocation Base Allocation Rate Materials handling $ 0.50 250,000 Number of parts Assembly 3,000,000 Number of assembling direct labor hours 15.00 Finishing 150,000 Number of finished units 4.50 "Refers to number of units receiving the finishing activity, not the number of units transferred to Finished Goods Inventory fuf gne1 Comi Print Done 0 Data Table Total Units Produced Total Direct Total Direct Total Number Materials Costs Labor Costs of Parts Product Total Assembling Direct Labor Hours 8,000 5,760 $ Standard bookcase Unfinished bookcase 4,000 4,800 64,000 $ 72,000 80,000 57,600 12,000 9,600 manut to ut Print Done - X 0 Requirements 1. Compute the manufacturing product cost per unit of each type of bookcase. 2. Suppose that pre-manufacturing activities, such as product design, were assigned to the standard bookcases at $4 each and to the unfinished bookcases at $2 each. Similar analyses were conducted of post-manufacturing activities such as distribution, marketing, and customer service. The post-manufacturing costs were $21 per standard bookcase and $13 per unfinished bookcase. Compute the full product costs per unit. 3. Which product costs are reported in the external financial statements? Which costs are used for management decision making? Explain the difference. 4. What price should Prescott's managers set for unfinished bookcases to earn a net profit of $14 per bookcase? Pucted dard b produd Print Done Puson matures Books and the conting system Prescott's desta low that the Propoceli of books October the standard back and wished book which was nothing. The state and the mick the content for the costs and the Ruadh Prescott, Inc manufactures bookcases and uses an activity-based costing system. Prescott's activity area B! (Click the icon to view the activity areas and related data) Prescott produced two styles of bookcases in October the standard bookcase and an unfinished bookcase (Click the icon to view the totals for quantities, direct materials costs, and other data.) Read the requirements. + Enter af Prescott's activity areas and related data follow an unfinished bookcase, which has fewer parts and requires no finishing. The totals for quantities, direct materia - data) nishing. The totals for quantities, direct materials costs, and other data follow