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1) 2) Ravelo Corporation has provided the following data from its activity-based costing system: 1 Activity Cost Pools Assembly Processing orders Inspection Estimated Overhead Cost
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Ravelo Corporation has provided the following data from its activity-based costing system: 1 Activity Cost Pools Assembly Processing orders Inspection Estimated Overhead Cost $ 508,520 $ 59,263 $ 82,589 Expected Activity 49,000 machine-hours 1,600 orders 1,610 inspection-hours Data concerning the company's product L19B appear below: Annual unit production and sales Annual machine - hours Annual number of orders Annual inspection hours Direct materials cost Direct labor cost 530 1,090 170 120 $ 47.74 per unit $ 20.45 per unit According to the activity-based costing system, the unit product cost of product L19B is closest to: (Round your intermediate calculations to 2 decimal places.) 1 Multiple Choice O $109.78 per unit () $67.87 per unit O O $68.19 per unit O $113.03 per unit Eliezrie, Incorporated, manufactures and sells two products: Product G8 and Product 00. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Expected Production 740 340 Direct Labor- Hours Per Unit 5.4 Total Direct Labor- Hours 3,996 816 Product 68 Product 00 Total direct labor-hours 2.4 4,812 The direct labor rate is $22.50 per DLH. The direct materials cost per unit for each product is given below: Direct Materials Cost per Unit $ 117.10 $ 117.50 Product G8 Product 00 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Expected Activity Activity Measures DLHS setups MHS Activity Cost Pools Labor-related Machine setups Order size Estimated Overhead Cost $ 57,555 56,390 367,508 $ 481,453 Product oo 816 Product G8 3,996 600 5,000 Total 4,812 1,220 10,500 620 5,500 Which of the following statements concerning the unit product cost of Product G8 is true? (Round your intermediate calculations to 2 decimal places.) Multiple Choice The unit product cost of Product G8 under traditional costing is greater than its unit product under activity- based costing by $201.72. Multiple Choice The unit product cost of Product G8 under traditional costing is greater than its unit product under activity- based costing by $201.72. The unit product cost of Product G8 under traditional costing is less than its unit product cost under activity-based costing by $201.72. The unit product cost of Product G8 under traditional costing is less than its unit product cost under activity-based costing by $321.80. ( ) The unit product cost of Product G8 under traditional costing is greater than its unit product under activity- based costing by $321.80
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