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Exercise 7.30 Tamarisk Manufacturing has identified the following overhead costs and cost drivers for the current period. Tamarisk produces customized products that move through several
Exercise 7.30 Tamarisk Manufacturing has identified the following overhead costs and cost drivers for the current period. Tamarisk produces customized products that move through several different processes. Materials and intermediate products are moved among several different work stations. Custom features are designed by engineers. Estimated Estimated Activity Activity Cost Driver Cost Level Machine setup Number of setups $ 70,200 540 Material handling Number of times materials are moved 320.000 16,000 Product design Design hours 180,000 3,000 Inspection Number of inspections 280,000 14,000 Total cost $ 850,200 Information for three of the jobs completed during the period follows: Job 42 Job 43 Job 44 Direct materials $ 11,000 $ 24,000 $17,000 Direct labour $ 3,600 $ 4,000 $ 8,500 Units completed 200 100 360 Number of setups 2 4 10 Number of materials moves 60 20 100 Number of inspections 40 20 70 Number of design hours 20 100 20 If the company uses ABC, how much overhead cost should be assigned to Job 42? Overhead cost $ If the company uses ABC, calculate the cost per unit for Job 43. (Round answer to 2 decimal places, e.g. 52.75.) Cost per unit $
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