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Allen, Inc. manufactures bookcases and uses an activity-based costing system. Allen's activity areas and related data follow (Click the icon to view the activity areas
Allen, Inc. manufactures bookcases and uses an activity-based costing system. Allen's activity areas and related data follow (Click the icon to view the activity areas and related data.) Allen produced two styles of bookcases in October, the standard bookcase and an unfinished bookcase, which has fewer parts and requires no finishing. The totals for quantities, direct materials costs, and other data follow: (Click the icon to view the totals for quantities, direct materials costs, and other data.) Read the requirements Requirement 1. Compute the manufacturing product cost per unit of each type of bookcase. (Enter a "0" for any zero-balances.) Direct materials Direct labor Materials handling Assembling Finishing Standard Bookcase Unfinished Bookcase Total manufacturing cost Number of units Manufacturing cost per unit Requirement 2. Suppose that pre-manufacturing activities, such as product design, were assigned to the standard bookcases at $5 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 $23 per standard bookcase and $14 per unfinished bookcase. Compute the full product costs per unit Send a chat
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