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E D ge Read aloud Draw 3. Frase Corp is manufacturing marbles in two types TYPEI and TYPE2. These two product and the company has
E D ge Read aloud Draw 3. Frase Corp is manufacturing marbles in two types TYPEI and TYPE2. These two product and the company has the following cost structure. The company is using Activity Based Costing method. Overhead Activities Activity Cost Cost driver Machine Setup Materials Handling Generating electric power for production $180.000 $ 50.000 $20.000 1500 12500 20000 setup hours pounds of mat. Hand kilowatt hours TYPE1 TYPE2 Number of units produced 10.000 20.000 $20.000 $ 25.000 $ 12.000 $ 20.000 Direct materials cost Direct labor cost Number of setup hours Pounds of materials used Kilowatt-hours used 100 120 1500 500 1000 2000 a. What is the total cost for TYPEI and TYPE2 (10 points) b. WHat is the cost per unit for TYPEI and TYPE2 (10 points)
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