Question
Chinchilla, Inc. uses activity-based costing. The company produces X and Y. Information relating to the two products is as follows: X Y Units produced 38,000
Chinchilla, Inc. uses activity-based costing. The company produces X and Y. Information relating to the two products is as follows:
|
| X | Y |
| Units produced | 38,000 | 50,000 |
| Machine-hours | 15,000 | 17,000 |
| Direct labor-hours | 16,000 | 24,000 |
| Materials handling (number of moves) | 8,000 | 12,000 |
| Setups | 10,000 | 14,000 |
The following costs are reported:
| Materials handling | $320,000 |
| Labor-related overhead | 560,000 |
| Setups | 480,000 |
Labor-related overhead costs assigned to product X are:
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Principles Of Knowledge Auditing Foundations For Knowledge Management Implementation
Authors: Patrick Lambe
1st Edition
0262545039, 978-0262545037
