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Chandler Corp. solution template (NO need to fill in areas shaded in orange) 1) Compute the target cost for the two proposed products. Selling price
Chandler Corp. solution template (NO need to fill in areas shaded in orange) 1) Compute the target cost for the two proposed products. Selling price Desired Profit Target cost a) Target cost of Pool Shades b) Target cost of Trellises 2a) Compute the current activity rates based on practical capacity ABC - Practical Capacity Practical Cost driver Activity Label Activity Cost ($) Capacity unit Rate Design/Drafting design hrs /des. hr Engineering engineering hrs /eng. hr Fabrication parts /part Powder coating square feet /sq.ft. Scheduling job setups /set up General factory costs machine hrs /mach hr
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