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Campbell Corporation expects to incur indirect overhead costs of $94,775 per month and direct manufacturing costs of $14 per unit. The expected production activity
Campbell Corporation expects to incur indirect overhead costs of $94,775 per month and direct manufacturing costs of $14 per unit. The expected production activity for the first four months of the year are as follows. Estimated production in units Required January February March 4,600 7,800 3,600 April 6,300 a. Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four months of the year. b. Allocate overhead costs to each month using the overhead rate computed in Requirement a. c. Calculate the total cost per unit for each month using the overhead allocated in Requirement b. Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate the total cost per unit for each month using the overhead allocated in Requirement b. Month January February March April Number of units 4,600 7,800 3,600 6,300 Expected cost Overhead $ 78,200 $ 132,600 $ 61,200 $ 107,100 Direct costs Total cost $ 78,200 $ 132,600 $ 61,200 $ 107,100 Cost per unit Required B
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