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consider the following data for two products of gitano manufacturing number id units produced product a 11,500 units product b 1300 units direct labor cost
consider the following data for two products of gitano manufacturing
number id units produced product a 11,500 units product b 1300 units
direct labor cost (@ $27 per DLH) product a 0.14 DLH per unit product b 0.28 DLH per unit
direct materials cost product a $2 per unit product b $2.50 per unit
machine setup overhead costs $51,176
materials handling $ 55,000
quality control inspections $79,380
total $ 185,556
round to two decimal places
1. use direct labor hours as the basis for assigning overhead costs, determine the total production costs per unit for each product line
2. if the market price for product a is $24.06 and the market price for product b is $57, determine the profit or loss per unit for each product.
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 b.
4. determine the profit or loss per unit for each product assuming abc costing
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