Question
Belsky corporation has provided the following data: Activity Cost Pool: Assembly....$313,490(29,000 Machine hrs) Processing Orders...$49,476(1,400 orders) Inspection....$73,882 (total activity:1,060 inspection hrs.) 1.)Calculate an activity rate
Belsky corporation has provided the following data: Activity Cost Pool:
Assembly....$313,490(29,000 Machine hrs)
Processing Orders...$49,476(1,400 orders)
Inspection....$73,882 (total activity:1,060 inspection hrs.)
1.)Calculate an activity rate for EACH of Belsky's three activities that would use in the final stage of allocating costs to its products.
2.) Each Belsky mades 490 units of its X-ray Machines requiring a total of 1,080 machine hours, 60 orders and 20 inspection hours per year. In assition to the costs allocated through the activity pool, the product's direct materials cost is $46.42 per unit and its direct labor cost is $20.22 per unit.
Use this information and the activity rates calculated in Problem #1 to find the Unit Cost for an X-ray machine. (answer must be given total unit cost for ONE x-ray machine, not the total cost of 490 machines)
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