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Facey Manufacturing, a manufacturer of a variety of products, uses an activity-based costing system. Information from its system for the year for all products follows:
Facey Manufacturing, a manufacturer of a variety of products, uses an activity-based costing system. Information from its system for the year for all products follows: Facey Manufacturing makes 150 of its product A34 a year, which requires a total of 50 machine hours, 5 inspection hours, and 20 orders. Product A34 requires $20 in direct materials per unit and \$15 in direct labour per unit. Required: Show all calculations A. Calculate the cost pool activity rate for each of the three activities (3 Marks). B. How much manufacturing overhead would be allocated to Product A34 in total? (3 Marks) C. Calculate the cost to make all 150 units (4 Marks)
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