2-8

2-8

Harbour Company makes two models of electronic tablets, the Home and the Work Basic production Information follows Det materiale per unit Direct la ce per unit Sales price per unit Expected production per month 3.46 30 11 36 359 303 120 i 3 units Harbour has monthly overhead of 5173,700, which is divided into the following cont pools Betup costs Quality MANO Total 377,410 6.30 3.000 817). The company has shocomoted the flowing information about the chosen cost driver wal mer of 36 42 Wher of injection 318 350 Required: 1. Suppose Harbour ses a traditional costing system with machine hours as the cost driver Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount) Home Model Work Model Toal Overhead Cool Overheads $ 78.000 $ 5 1737 2. Calculate the production cost per unit for each of Harbour's products under a traditional costing system (Round your intermediate calculations and final answers to 2 decimal places.) Home Werk Unit Cost 3. Calculate Harbour's grow margin per unit for each product under the traditional costing system (Round your intermediate calculations and final answers to 2 decimal places.) Groud Margin 4. Select the appropriate cost driver for each cost pool and calculate the activity rates Harbour wanted to implement un ABC system Setup Costs Quality Control Maintenance 5. Assuming an ABC system, assign overhead costs to each product based on activity demands Overhead and Overheat signed To W Setup Coats Qunity Control Maintenance TO Overhead Cow 5 ols 6. Calculate the production cost per un for each of Harbour's products in an ABC System.ound your intermediate calculations and final answers to 2 decimal places.) Home Wer Unt Cost 7. Calculate Harbour's gross margin per unit for each product under an ABC system (Round your intermediate calculations and final answers to 2 decimal places) W Gross Margin weren 7. Calculate Harbour's gross margin per unit for each product under an ABC wystem.ound your intermediate calculations and final answers to 2 decimal places) Gross Margin 8. Compare the gross margin of each product under the traditional system and ARC (Round your answers to 2 decimal places) Werk Gross Marin (Traditional) Go Margin (ABC) The company has also compiled the following information about the chosen cost drivers: Home Work Total Number of setups 36 62 98 Number of inspections 310 350 660 Number of machine hours 1,500 1,500 3,300 Required: 1. Suppose Harbour uses a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) Home Model: Overhead Assigned $ 78.991 $ 94.789 $ 173,780 Work Model: Total Overhead Cost points 2. Calculate the production cost per unit for each of Harbour's products under a traditional costing system (Round your intermediate calculations and final answers to 2 decimal places.) Work unt Com 800 Pris fo 3. Calculate Harbour's gross margin per unit for each product under the traditional costing system. (Round your intermediate calculations and final answers to 2 decimal places.) Home Want Gross Margin 4. Select the appropriate cost driver for each cost pool and calculate the activity rates if Harbour wanted to implement on ABC wystem. Setup Cosbe Quality Control Manenance 5. Assuming an ABC system, assign overhead costs to each product based on activity demands. Overhead Assigned To Home Overhead Assigned To Work Setup Couts Quality Control Maintenance Total Overhead Cost $ 05 6. Calculate the production cost per unit for each of Harbour's products in an ABC system. (Round your intermediate calculations and final answers to 2 decimal places.) Home Work Una Cont 6. Calculate the production cost per unit for each of Harbour's products in an ABC system. (Round your intermediate calculations and final answers to 2 decimal places.) PV Unit Cost B 7. Calculate Harbour's gross margin per unit for each product under an AC system (Round your intermediate calculations and final answers to 2 decimal places) Gros Marin 8. Compare the gross margin of each product under the traditional system and AICI Round your answers to 2 decimal places.) More Gras Marin (Traditionen Gro Margh (ABC) Harbour Company makes two models of electronic tablets, the Home and the Work Basic production Information follows Det materiale per unit Direct la ce per unit Sales price per unit Expected production per month 3.46 30 11 36 359 303 120 i 3 units Harbour has monthly overhead of 5173,700, which is divided into the following cont pools Betup costs Quality MANO Total 377,410 6.30 3.000 817). The company has shocomoted the flowing information about the chosen cost driver wal mer of 36 42 Wher of injection 318 350 Required: 1. Suppose Harbour ses a traditional costing system with machine hours as the cost driver Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount) Home Model Work Model Toal Overhead Cool Overheads $ 78.000 $ 5 1737 2. Calculate the production cost per unit for each of Harbour's products under a traditional costing system (Round your intermediate calculations and final answers to 2 decimal places.) Home Werk Unit Cost 3. Calculate Harbour's grow margin per unit for each product under the traditional costing system (Round your intermediate calculations and final answers to 2 decimal places.) Groud Margin 4. Select the appropriate cost driver for each cost pool and calculate the activity rates Harbour wanted to implement un ABC system Setup Costs Quality Control Maintenance 5. Assuming an ABC system, assign overhead costs to each product based on activity demands Overhead and Overheat signed To W Setup Coats Qunity Control Maintenance TO Overhead Cow 5 ols 6. Calculate the production cost per un for each of Harbour's products in an ABC System.ound your intermediate calculations and final answers to 2 decimal places.) Home Wer Unt Cost 7. Calculate Harbour's gross margin per unit for each product under an ABC system (Round your intermediate calculations and final answers to 2 decimal places) W Gross Margin weren 7. Calculate Harbour's gross margin per unit for each product under an ABC wystem.ound your intermediate calculations and final answers to 2 decimal places) Gross Margin 8. Compare the gross margin of each product under the traditional system and ARC (Round your answers to 2 decimal places) Werk Gross Marin (Traditional) Go Margin (ABC) The company has also compiled the following information about the chosen cost drivers: Home Work Total Number of setups 36 62 98 Number of inspections 310 350 660 Number of machine hours 1,500 1,500 3,300 Required: 1. Suppose Harbour uses a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) Home Model: Overhead Assigned $ 78.991 $ 94.789 $ 173,780 Work Model: Total Overhead Cost points 2. Calculate the production cost per unit for each of Harbour's products under a traditional costing system (Round your intermediate calculations and final answers to 2 decimal places.) Work unt Com 800 Pris fo 3. Calculate Harbour's gross margin per unit for each product under the traditional costing system. (Round your intermediate calculations and final answers to 2 decimal places.) Home Want Gross Margin 4. Select the appropriate cost driver for each cost pool and calculate the activity rates if Harbour wanted to implement on ABC wystem. Setup Cosbe Quality Control Manenance 5. Assuming an ABC system, assign overhead costs to each product based on activity demands. Overhead Assigned To Home Overhead Assigned To Work Setup Couts Quality Control Maintenance Total Overhead Cost $ 05 6. Calculate the production cost per unit for each of Harbour's products in an ABC system. (Round your intermediate calculations and final answers to 2 decimal places.) Home Work Una Cont 6. Calculate the production cost per unit for each of Harbour's products in an ABC system. (Round your intermediate calculations and final answers to 2 decimal places.) PV Unit Cost B 7. Calculate Harbour's gross margin per unit for each product under an AC system (Round your intermediate calculations and final answers to 2 decimal places) Gros Marin 8. Compare the gross margin of each product under the traditional system and AICI Round your answers to 2 decimal places.) More Gras Marin (Traditionen Gro Margh (ABC)