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1 and 2 Klein Company produces three types of bird feeders: Basic, Squirrel-Proof, and Deluxe. Currently, the company allocates overhead to products using machine-hours. This
1 and 2
Klein Company produces three types of bird feeders: Basic, Squirrel-Proof, and Deluxe. Currently, the company allocates overhead to products using machine-hours. This year, the company produced 1,000 Basic models, 2,000 Squirrel-Proof models, and 1,800 Deluxe models. Details for each product at the end of the current year are as follows: Basic Squirrel-Proof Deluxe Revenue $30,000 $110,000 $117,000 Direct materials $12,000 $ 50,000 $ 54,000 Direct tabour $ 7,500 $ 19,000 $ 22,500 Machine-hours per unit 8.3 MH 0.5 MH 0.4 MH The total overhead cost to be allocated to products is $28,000. Required: 1. Calculate the profit per unit for each product after allocated overhead costs using machine-hours. (Round your intermediate and final answers to 2 decimal places.) Lucinist places q. irrel-Proof Deluxe Profit per unit 2. Using the activity-based information below.calculate the profit per unit for each product after allocated overhead costs using machine-hours (Round your intermediate and final answers to 2 decimal places.) Cost Driver Cost Basic Squirrel-Proof De Luxe Number of machine setups $12,000 3 setups 4setups 5 setups Operating machines $ 4,000 0.3 MH 0.5 MH 0.4 MH Number of sales orders received $ 4,000 20 orders 40 orders 45 orders Number of units shipped $ 8,000 1,000 units 2,000 units 1,800 units 2. Using the activity-based information below, calculate the profit per unit for each product after allocated overhead costs using machine-hours. (Round your intermediate and final answers to 2 decimal places.) Cost Driver Cost Basic Squirrel-Proof Deluxe Number of machine setups $12,000 3 setups 4setups 5 setups Operating machines $ 4,000 0.3 MH 0.5 MH 0.4 MH Number of sales orders received $ 4,000 20 orders 40 orders 45 orders Number of units shipped $ 8,000 1,000 units 2,000 units 1,800 units Basic Squirrel-Proof Deluxe Profit per unit Step by Step Solution
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