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In its first year of operations a company produced and sold 70,800 units of Product A at a selling price of $28 per unit and
In its first year of operations a company produced and sold 70,800 units of Product A at a selling price of $28 per unit and 18,300 units of Product B at a selling price of $48 per unit. Additional information relating to the company's only two products is shown below: The company created an activity-based costing system that allocated its manufacturing overhead costs to four activities as follows: The company's ABC implementation team also concluded that $54,000 and $108,000 of the company's advertising expenses could be directly traced to Product A and Product B, respectively. The remainder of its selling and administrative expenses ($408,000) was organization in product margin) earned by Product A ? (Round your intermediate calculations to 2 decimal places.)
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