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ces Problem 17-1A Comparing costs using ABC with the plantwide overhead rate LO P1, P3, A1, A2 The following data are for the two
ces Problem 17-1A Comparing costs using ABC with the plantwide overhead rate LO P1, P3, A1, A2 The following data are for the two products produced by Tadros Company. Direct materials Direct labor hours Machine hours Batches Volume Number of customers Market price Engineering modifications Product A $20 per unit 0.5 DLH per unit 0.4 MH per unit 200 batches. 16,000 units 20 modifications 800 customers $55 per unit Product B $30 per unit 1.5 DLH per unit 1.2 MH per unit 360 batches, 3,600 units 80 modifications. 720 customers $220 per unit The company's direct labor rate is $20 per direct labor hour (DLH). Additional information follows. Indirect manufacturing Engineering support Electricity Setup costs Nonmanufacturing Customer service Costs Driver $ 53,600 Engineering modifications 42,880 Machine hours 171,520 Batches 129,200 Number of customers Required: (Round your per unit cost answers to 2 decimal places and other answers to nearest whole number. Loss amounts should be indicated with minus sign.) 1. Compute the manufacturing cost per unit using the plantwide overhead rate based on direct labor hours. Overhead costs Direct labor hours Overhead Assigned Devlet A $ 20.00 per direct labor hour 268,000 $ 13,400 Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit on mole 150 000 1000l
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