Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

consider the following data for two products of Gitano Manufacturing. ( loss amount should be indicated with a -. Round your intermediate calculations and

consider the following data for two products of Gitano Manufacturing. ( loss amount should be indicated with a -. Round your intermediate calculations and " OH rate and cost per unit" answers to 2 decimal places.) image text in transcribed
image text in transcribed
image text in transcribed
Number of units produced Direct labor cost (e $29 per DLH) Direct materials cost Labor cose le 529 per DLH) Product A 12,500 units 8.11 DLH per unit $ 2.30 per unit 11 oH per unit Products 1,300 units 2.21 DLH per unit $ 3.10 per unit : Duh per Activity Machine setup Materials handling Quality control inspections Overhead costs $ 15,616 52.000 84,000 5151.616 Required: 1. Using direct labor hours as the basis for assigning overhead costs, determine the total production cost per unit for each product line. Overhead Assigned Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit Product Produd B Product A Product B 2. If the market price for Product Als 520.73 and the market orice for Product is $64. determine the profit or loss ner unit for each product Chapter 4 Homework heducation.com/flow/connect.html ork Saved 2. If the market price for Product A is $20.73 and the market price for Product B is $64, determine the profit or loss per unit for each product Product A Product B Market price 3. Consider the following additional information about these two product lines. If ABC is used for assigning overhead costs to products, what is the cost per unit for Product A and for Product B? Product A Product B Number of setups required for production 11 setups 22 setups Number of parts required part/unit part/unit Inspection hours required 60 hours 220 hours 12 12 Machine setup Materials handling Quality control Activity Driver Activity Rate Total Overhead Cost Overhead Assigned Product A Machine setup Prey 1 of 1 !! Next work Overhead Assigned Activity Driver Product Machines Material hand Quality control Product B Machine setup Material handling Quality control Product Product Tomadacturing costs Direct Materials per unit Direct Labor per unit Overhead per Total manufacturing cost per unit 4. Determine the profit or loss per for each product assuming ABC costing e to search

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting Special Edition For California State University Los Angeles

Authors: Garrison

14th Edition

0077519973, 978-0077519971

More Books

Students also viewed these Accounting questions