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dre Exercise 5-11A Allocating facility-level costs and a product elimination decision Blevins Boards produces two kinds of skateboards. Selected unit data for the two boards
dre Exercise 5-11A Allocating facility-level costs and a product elimination decision Blevins Boards produces two kinds of skateboards. Selected unit data for the two boards for the last quarter follow: Basco Boards Shimano Boards Production costs Direct materials Direct labor Allocated overhead Total units produced and sold Total sales revenue $25 $32 $15 5,000 $500,000 $38 $54 $18 10,000 $1,400,000 Business Environment ABC Blevins allocates production overhead using activity-based costing. It allocates delivery expense and sales commissions, which amount to $54,000 per quarter, to the two products equally. Required a. Compute the per-unit cost for each product. b. Compute the profit for each product
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