Baird Cameras, Inc. manufactures two models of cameras. Model ZM has a zoom lens; Model DS has a fixed lens. Baird uses an activity-based costing system. The following are the relevant cost data for the previous month: Direct Cost per Model ZM Model DS Unit Direct materials $20.10 $10.10 Direct labor 28.20 12.20 Category Unit level Batch level Product level Facility level Total Estimated cost $ 24,000 45,000 87,500 270,000 $426,500 Cost Driver Number of units Number of setups Number of TV commercials Number of machine hours Use of Cost Driver ZM: 2,400 units; DS: 9,600 units ZM: 25 setups; DS: 25 setups ZM: 15; DS: 10 ZM: 500 hours; DS: 1,000 hours Baird's facility has the capacity to operate 4,500 machine hours per month Required a. Compute the cost per unit for each product. b. The current market price for products comparable to Model ZM is $129 and for DS is $89. If Baird sold all of its products at the market prices, what was its profit or loss for the previous month? c. A market expert believes that Baird can sell as many cameras as it can produce by pricing Model ZM at $124 and Model DS at $44. Baird would like to use those estimates as its target prices and have a profit margin of 30 percent of target prices. What is the target cost for each product? Required a. Compute the cost per unit for each product. b. The current market price for products comparable to Model ZM is $129 and for DS is $89. If Baird sold all of its products at the market prices, what was its profit or loss for the previous month? c. A market expert believes that Baird can sell as many cameras as it can produce by pricing Model ZM at $124 and Model DS at $44. Baird would like to use those estimates as its target prices and have a profit margin of 30 percent of target prices. What is the target cost for each product? Complete this question by entering your answers in the tabs below. Required A Required B Required Allocated Compute the cost per unit for each product. (Round intermediate calculations and final answers to 2 decimal places.) Type of Product Direct Materials Total Overhead Model ZM 0.00 Model DS 0.00 Direct Labor Required B Required a. Compute the cost per unit for each product. b. The current market price for products comparable to Model ZM is $129 and for DS is $89. If Baird sold all of its products at the market prices, what was its profit or loss for the previous month? c. A market expert believes that Baird can sell as many cameras as it can produce by pricing Model ZM at $124 and Model DS at $44. Baird would like to use those estimates as its target prices and have a profit margin of 30 percent of target prices. What is the target cost for each product? Complete this question by entering your answers in the tabs below. Required A Required B Required The current market price for products comparable to Model ZM is $129 and for DS is $89. If Baird sold all of its products a the market prices, what was its profit or loss for the previous month? (Round Intermediate calculations to 2 decimal placer Loss amounts should be indicated by a minus sign.) Amount Model ZM Model DS Compute the cost per unit for each product. The current market price for products comparable to Model ZM is $129 and for DS is $89. If Baird sold all of its products at the market prices, what was its profit or loss for the previous month? . A market expert believes that Baird can sell as many cameras as it can produce by pricing Model ZM at $124 and Model DS at $44. Baird would like to use those estimates as its target prices and have a profit margin of 30 percent of target prices. What is the target cost for each product? Complete this question by entering your answers in the tabs below. Required A Required B Required A market expert believes that Baird can sell as many cameras as it can produce by pricing Model ZM at $124 and Model DS $44. Baird would like to use those estimates as its target prices and have a profit margin of 30 percent of target prices. Whi is the target cost for each product? (Round your answers to 2 decimal places.) Model ZM Model DS Target cost/ unit
