Donovan & Parents produces soccer shorts and jerseys for youth leagues. Most of the production is done by machine. Data on operations and costs for March follow.

	Jerseys			Shorts			Total
Units produced		10,900			4,500			15,400
Machine-hours used		970			780			1,750
Direct labor-hours		210			140			350
Direct materials costs	$	12,600		$	7,900		$	20,500
Direct labor costs	$	4,200		$	2,800		$	7,000
Manufacturing overhead costs							$	20,000

Management asks the firms cost accountant to compute product costs. The accountant first assigns overhead costs to two pools: overhead related to direct materials and overhead related to machine-hours. The analysis of overhead accounts by the cost accountant follows.

Account	Amount			Related to:
Utilities	$	4,070		Machine-hours
Supplies		2,800		Materials
Machine depreciation and maintenance		7,475		Machine-hours
Purchasing and storing materials		2,325		Materials
Miscellaneous		3,330		Machine-hours

Required:

a. Compute the predetermined overhead rates assuming that Donovan uses machine-hours to allocate machine-relatedoverhead costs and materials costs to allocate materials-related overhead costs.

b. Compute the total costs of production and the cost per unit for each of the two products for March.

Homework 3 Saved 4 Donovan & Parents produces soccer shorts and jerseys for youth leagues. Most of the production is done by machine. Data on operations and costs for March follow. 3 points Jerseys Shorts 10,900 4,500 970 780 210 140 $12,600 $7,900 $ 4,200 $2,800 Units produced Machine-hours used Direct labor-hours Direct materials costs Direct labor costs Manufacturing overhead costs Total 15,400 1,750 350 $20,500 $ 7,000 $20,000 eBook Print Management asks the firm's cost accountant to compute product costs. The accountant first assigns overhead costs to two pools: overhead related to direct materials and overhead related to machine-hours. The analysis of overhead accounts by the cost accountant follows. Account Utilities Supplies Machine depreciation and maintenance Purchasing and storing materials Miscellaneous Related Amount tot Machine $4,070 hours 2,800 Materials Machine 7,475 hours 2, 325 Materials Machine 3,330 hours Required: a. Compute the predetermined overhead rates assuming that Donovan uses machine-hours to allocate machine-related overhead costs and materials costs to allocate materials-related overhead costs. b. Compute the total costs of production and the cost per unit for each of the two products for March Complete this question by entering your answers in the tabs below. Required Required A B Compute the total costs of production and the cost per unit for each of the two products for March. (Do not round intermediate calculations. Round your "Cost per unit" to 2 decimal places.) Show less Jerseys Shorts Total cost Cost per unit