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Krone Concrete The company es processes and reserves como Management needs to get information on the cost ove me They have created an ABC costing

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Krone Concrete The company es processes and reserves como Management needs to get information on the cost ove me They have created an ABC costing model to the They have identified the following activity related information for production veh Material handling is related to the volume of meats. Machinery is used for mig, blending and packaging of the roads Scheduling planning and support costs are rated to the moon Activity Cost Pools Activity Measure Expected Annual Act Levels Material Handling Material kilograme 5.000.000 Machinery equipment Machine hours 6.000 Scheduling and support Production Batches Annual Overheads 375.00 3,00 111. .000 The following data is available for two of the cement products Normal Cost information Direct materials per bag $ 6.00 s Direct labour per bag $ 0.50 5 Production metrics Concrete per bag (Kilograms) so Machine hours per bag 0.00 500 Bags of concrete per batch 9.00 0.50 50 10 200 Required: 1. Under the traditional costing system, the production overhead charged to each bag is $11.70. Compute the cost per bag of concrete product for both products under traditional costing. 2. Kronkite Concrete prices their products by marking up the traditional inventory value by 25% Compute the two productes prices, Round dollar nel Air Required: 1. Under the traditional costing system, the production overhead charged to each bag is $11.70. Compute the cost per bag of concrete product for both products under traditional costing. 2. Kronkite Concrete prices their products by marking up the traditional inventory value by 25%. Compute the two products' selling prices. Round dollar amounts to 2 decimal places. 3. Compute the ABC activity rate for each of the product activities. Round the ABC unit cost to 3 decimal places. 4. Compute the unit cost per bag of concrete product under ABC costing. Note: you can calculate the total cost per batch and divide by units in a batch or convert all costs to a per bag cost to get the total per bag. Round dollar amounts to 2 decimal places. 5. Determine the ABC unit contribution for the two concrete products. Which product is more profitable under ABC costing

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