Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Lamer Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates: Activity
Lamer Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates: Activity Cost Pool Activity Rates Labor-related $ 7.00 per direct labor-hour Machine-related 4.00 per machine-hour Machine setups $ 50.00 per setup Production orders $ 100.00 per order Shipments $ 150.00 per shipment General factory $ 4.00 per direct labor-hour Cost and activity data have been supplied for the following products: J78 Direct materials cost per unit Direct labor cost per unit Number of units produced per year $ 3.00 $ 3.00 2,000 B52 $20.00 $ 6.00 100 Direct labor-hours Machine-hours Machine setups Production orders Shipments Total Expected Activity J78 B52 1,000 20 2,000 50 6 3 5 3 Cost and activity data have been supplied for the following products: Direct materials cost per unit Direct labor cost per unit Number of units produced per year J78 $ 3.00 $ 3.00 2,000 B52 $20.00 $ 6.00 100 Total Expected Activity J78 B52 1.000 20 2,000 50 3 Direct labor-hours Machine-hours Machine setups Production orders Shipments 3 3 Required: Compute the unit product cost of each product listed above. (Do not round intermediate calculations. Round your answers to 2 decimal places.) J78 B52 Unit product cost
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started