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I have also tried the numbers 152 per unit for deluxe and 51 per unit for regular Activity Rates and Activity-Based Product Costing Hammer Company
I have also tried the numbers "152 per unit" for deluxe and "51 per unit" for regular
Activity Rates and Activity-Based Product Costing Hammer Company produces a variety of electronic equipment. One of its plants produces two laser printers: the deluxe and the regular. At the beginning of the year, the following data were prepared for this plant: Deluxe Regular 800,000 Quantity 100,000 Selling price $900 $750 Unit prime cost $529 $483 In addition, the following information was provided so that overhead costs could be assigned to each product: Activity Name Activity Driver Deluxe Regular Activity Cost Setups Number of setups 300 200 $1,900,000 Machining Machine hours 100,000 300,000 48,000,000 Engineering Engineering hours 50,000 100,000 6,000,000 Packing Packing orders 100,000 400,000 450,000 Required: 1. Calculate the overhead rates for each activity. If required, carry your answers out to the nearest cent. Setups 3,800 per setup Machining 120 per machine hour Engineering 40 per engineering hour Packing 0.9 per packing order 2. Calculate the per-unit product cost for each product. Round your answers to the nearest whole dollar Deluxe 153 X per unit Regular 52 X per unit Step by Step Solution
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