Go to pg 947 AA Excel Technology Accessories Inc. is a designer, manufacturer, and distributor of accessories for consumer electronic products. Early in 2013, the company began production of a leather cover for tablet computers, called the iLeather. The cover is made of stitched leather with a velvet Interior and fits around most tablet computers. In January, $750,000 was spent on developing marketing and advertising materials. For the first six months of 2012, the company spent $1,400,000 promoting the iLeather. The product was ready for manufacture on January 21, 2013. Technology Accessories Inc. uses a job order cost system to accumulate costs for the ileather. Direct materials unit costs for the iLeather are as follows: Leather Velvet $10.00 5.00 Packaging 0.40 Total $15.40