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Hans Corp manufactures computer desks in its Nashvila TANNABERA, plant. The company reclivity-hard coming to allocate al manufacturing conversion coate direct labor and manufacturing career.
Hans Corp manufactures computer desks in its Nashvila TANNABERA, plant. The company reclivity-hard coming to allocate al manufacturing conversion coate direct labor and manufacturing career. Its civiles and related data foliow. (Click the icon to view the activity areas and related data Read the reacties Requirement 1. Campule the per-unit manufacturing products coat of Standard desks and Unpainted desks. (Dampico all input fielda. Enora y for anyon Amounts. Round your answers to the rest Whale dollar) Standard Desk Unpainted Desk Direct materials Materials handling Assembling II Painting Total manufacturing cost Number of units Manufacturing cost per unit Requirement 2. Premanufacturing activities, such as product design, were assigned to the Standard dcsics at $E cach and to the Unpainted desks at $scach. Simlar analyses were conducted of post-mansacturing activics such as Citroen, marketing, and customer service. The post-manufacturing costs were $23 per Standard and $20 per Unpartec ceck. Compute the full product voels per desk Standard Desk Unpainted Desk Full product cat per un that are aparaad as incurmed for external reporting. Requirement 3. Which product costs are reported in the excernal financial statements? Which posts are used for management dession making? Explain the difference. and reported in the financial statement Manager use for detalons such as pricing and product anpheaks. Full product acts inc.ce the However, these cuss ullen sre Requirement 4. What price should Hone's managers set for Standard deska to AAMA S43 proft per desk? Sales price per unit - standard desk Data table Budgeted Cost of Activity Cost Allocation Rate Activity Allocation Base Materials handling ...$ 320,000 Number of parts $ 0.80 $ Assembling $ 2,200,000 Direct labor hours $ 12.00 Painting $ 170,000 Number of painted desks $ 5.00 Hone produced two styles of desks in March: the Standard desk and Unpainted desk. Data for each follow: Product Total Units Total Direct Produced Materials Costs 7,000 $ 118,600 Total Number Total Assembling of Parts Direct Labor Hours 119,000 6,100 29,000 1,100 Standard desk Unpainted desk ... 3,000 $ 50,600 Requirements 1. Compute the per-unit manufacturing product cost of Standard desks and Unpainted desks. 2. Premanufacturing activities, such as product design, were assigned to the Standard desks at $6 each and to the Unpainted desks at $5 each. Similar analyses were conducted of post-manufacturing activities, such as distribution, marketing, and customer service. The post-manufacturing costs were $23 per Standard and $20 per Unpainted desk. Compute the full product costs per desk. 3. Which product costs are reported in the external financial statements? Which costs are used for management decision making? Explain the difference. 4. What price should Hone's managers set for Standard desks to earn a $43 profit per desk
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