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Keyboard uses activity-based costing. Two of Keyboard's production activities are kilting (assembling the raw materials needed for each computer in one ) and boxing the

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Keyboard uses activity-based costing. Two of Keyboard's production activities are kilting (assembling the raw materials needed for each computer in one ) and boxing the completed products for shipment to customers. Assume that Keyboard spends $4,000,000 per month on Kitting and $13,000,000 per month on boxing Keyboard allocates the following: Kitting costs based on the number of parts used in the computer Boxing costs based on the cubic feet of space the computer requires Suppose Keyboard estimates it will use 200,000,000 parts per month and ship products with a total volume of 20,000,000 cubic feet per month. Assume that each desktop computer requires 175 parts and has a volume of 10 cubic feet. The predetermined overhead allocation rate for kitting is $0.02 per part and the predetermined overhead allocation rate for boxing is $0.65 per cubic foot What are the kitting and boxing costs assigned to one desktop computer? (Round all calculations to the nearest cent.) Kitting Boxing 3.50 $ 6.50 3.70 $ 120.25 0.20 $ 113.75 6.50 $ 3.50

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