0 Data Table - X Budgeted Cost Cost Activity of Activity Allocation Base Allocation Rate Materials handling . . . $ 340,000 Number of parts $ 1.40 Assembling ........ 3,200,000 Direct labour hours 16.00 Painting 170,000 Number of painted desks 5.00 Johnston produced two styles of desks in March: the Standard desk and the Unpainted desk. Data for each follow: Total Total Direct Total Total Assembling Units Materials Number Direct Labour Product Produced Costs of Parts Hours Standard desk ....... 6,500 $ 102,000 121,000 6,200 Unpainted desk ...... 2,000 25,000 31,000 1,300 Johnston's Ofce Department manufactures computer desks in its Mocsejaw. Saskatchewan, plant. The company uses activity based costing to allocate all manufacturing conversion costs (direct labour and manufacturing overhead). Its activities and related data follow: (Click the icon to View the activity areas and related data.) Requirements 1. Compute the per-unit manufacturing product cost of Standard desks and Unpainted desks. 2. Premanufacturing activities, such as product design, were assigned to the Standard desks at $4 each and to the Unpainted desks at $2 each. Similar analyses were conducted of postmanufactun'ng activities, such as distribution, marketing, and customer service. The postmanufacturing costs were $28 per Standard and $22 per Unpainted desk. Compute the full product costs per desk. 3. Which product costs are reported in the external nancial statements? Which costs are used for management decision making? Explain the difference. 4. What price should Johnston's managers set for Standard desks to earn a $50 prot per desk? Requirement 1.Compute the per-unit manufacturing product cost of Standard desks and Unpainted desks. (For activities with a zero balance, enter . Round your answers to the nearest whole dollar.) Standard Desk Unpainted Desk Direct materials Materials handling Assembling Painting Total manufacturing cost Number of units Manufacturing cost per unit