Hello,

I am studying for an exam and am stuck on question C. I was able to understand A&B and part of C but need help with the blanks (see that attachment for the question.

1) I can't figure out the allocated cost for labor hours

2) I can't figure out the desired profit of 30% for labor hours. I come up with 51 but my practice test says it is incorrect.

Thank you,

Charles

head X Miladys Ramos_AC505 x UCDAccess - University X McGraw-Hill Connect ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https ework i Saved Solomon Company produces commercial gardening equipment. Since production is highly automated, the company allocates overhead costs to product lines using activity-based costing. The costs and cost drivers associated with the four overhead acti pools follow: Activities Unit Level Batch Level Product Level Facility Level Cost $ 67,206 $19,270 $ 17, 000 $208,080 Cost driver 2,400 labor hrs. 47 setups Percentage of 13,000 units Production of 860 sets of cutting shears, one of the company's 20 products, took 250 labor hours and 6 setups and consumed percent of the product-sustaining activities. Required a. Had the company used labor hours as a companywide allocation base, how much overhead would it have allocated to the cu shears? b. How much overhead is allocated to the cutting shears using activity-based costing? c. Compute the overhead cost per unit for cutting shears first using activity-based costing and then using direct labor hours for allocation if 860 units are produced. If direct product costs are $170 and the product is priced at 30 percent above cost for w price would the product sell under each allocation system? Complete this question by entering your answers in the tabs below. Reg A and B Reg C Compute the overhead cost per unit for cutting shears first using activity-based costing and then using direct labor hours for allocation if 860 units are produced. If direct product costs are $170 and the product is priced at 30 percent above cost for what price would the product sell under each allocation system? (Round intermediate calculations and final answers to 2 decimal places.) Show less A ABC Labor Hrs Allocated overhead 28.98 Direct cost 170.00 170.00 Total cost per unit 198.98 170.00 Desired profit 59.69 Sales price 258.67 $ 170.00