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Exercise 3: Dace Company manufactures two products, Product F and Product G. The company expects to produce and sell 3,200 units of Product F and
Exercise 3: Dace Company manufactures two products, Product F and Product G. The company expects to produce and sell 3,200 units of Product F and 2,100 units of Product G during the current year. Data relating to the company's three activity cost pools are given below for the current year: Total Activity Activity Cost Pool Total Cost Product F Product G Total Machine setups...... $7,020 130 setups 130 setups 260 setups Purchase orders... $69,700 520 orders 1,180 orders 1,700 orders General factory $101,160 3,520 hours 2,100 hours 5,620 hours Required: Using the activity-based costing approach, determine the overhead cost per unit for each product
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