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can someone help me with this managerial practice problem. Information about a company's two products is found below. Direct Labor Hours per Unit 0.60 0.20
can someone help me with this managerial practice problem.
Information about a company's two products is found below. Direct Labor Hours per Unit 0.60 0.20 Product A Product B Annual Production 21,000 units 44,000 units Additional information about the company follows: a. Direct materials per unit is $26 for Product A and $17 for Product B. b. The direct labor wage rate is $11 per hour. c. Product A requires a special process that is not required for Product B. d. The following activity cost pools are used by the company's ABC system. Activity Cost Pool (and Activity Measure) Machine setups (number of setups) Special process (machine hours) General factory (Direct labor-hours) Estimated Expected Activity Overhead Cost Product A Product 3 Total $ 24,300 135 108 243 $ 168,000 4,200 4,200 $ 278,200 12,600 8.800 21,400 Required: 1. For each activity cost pool, calculate the activity rate. 2. Using ABC costing, determine the total cost per unit of Product A and Product B. Required 1 Required 2 For each activity cost pool, calcuate the activity rate. Activity Cost Pool Machine setups Special process General factory Activity Rate per setup per MH per DLH Required 1 Required 2 Using ABC costing, determine the total cost per unit of Product Aa Round your answers to 2 decimal places.) Product A Product B Direct materials Direct labor Manufacturing overhead Unit product cost Step by Step Solution
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