Question
I need help with walking through the steps for this. Compare two projects under development by the same company. The following are a few aspects
I need help with walking through the steps for this.
Compare two projects under development by the same company. The following are a few aspects of each product's development process relevant to costs.
Product S
Product T
Requires 4,000 hours of testing
Requires 1,000 hours of testing
Requires 4,620 units of computing power
Requires 1,980 units of computing power
Requires 20 developer hours to implement
Requires 80 developer hours to implement
Cost Items
Cost of Each Activity
Testing:
$30,800
Computing power:
$46,200
Developer hourly cost:
$12 per hour
Activity-Based Costing
Using the data above for products S and T, calculate the costs using activity-based costing. Allocate the costs of testing, computing, and development based on the rates of activity consumed by each product's development process. If required in your computations, round per unit costs to the nearest cent. Round your final answers to the nearest dollar.
Compare two projects under development by 1e same company. The following are a few aspects of each product's development process relevant to costs. Product 5 Product T Requires 4,DI]CI hours of testing Requires LDBD hours of testing Requires 4,631 units of computing power Requires LQBCI units of computing power Requires 2|] developer hours to implement Requires Bl] developer hours to implement Cost Items Cost oi Each Activity Testing: al Computing power: $45,2{ZID Developer hourly cost: $12 per hour ActivityBased Costing Using the data above for products 5 and T, calculate the costs using activitybased costing. Allocate the costs of testing, computing, and development based on the rates of activity consumed by each product's development process. If required in your computaons, round per unit posts to the nearest cent. Round your nal answers to the nearest dollar. Cost Activity Base Testing Hours of testing Computing cost Units of computing power Developer cost Development hours Product 5 Product T Testing cost $':| Testing cost $[: Computing cost $':] Computing cost :13: Developer cost 13:] Developer cost 1?: Total cost $':| Total CUSt 1Step by Step Solution
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