Answered step by step
Verified Expert Solution
Question
1 Approved Answer
need help with answer Ellezrie, incorporated, manufactures and sells two products: Product G8 and Product 00. Data concerning the expected production of each product and
need help with answer
Ellezrie, incorporated, manufactures and sells two products: Product G8 and Product 00. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Direct Total Labor- Direct Expected Hours Per Labor Production Unit Hours Product G8 720 5.2 3,744 Product oe 320 2.2 704 Total direct labor-hours 4,448 The direct labor rate is $22,30 per DLH. The direct materials cost per unit for each product is given below: Direct Materials Cost per Unit Product 68 $ 115.10 Product 00 $ 115.50 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity Activity Cost Pools Labor-related Machine setups Order size Activity Measures DLHS setups MHS Estimated Overhead Cost $ 56,555 55,390 166, 508 $ 478,453 Expected Activity Product GB Product 00 3,744 704 500 610 4,900 5,300 Total 4,448 1.110 10,200 which of the following statements concerning the unit product cost of Product is true? (Round your intermediate calculations to 2 decimal places.) 610 Machine setups Order size setups MHS 55,390 366,508 $ 478,453 500 4,900 5,300 10, 200 Which of the following statements concerning the unit product cost of Product G8 is true? (Round your intermediate calculations to 2 decimal places.) Multiple Choice The unit product cost of Product G8 under traditional costing is greater than its unit product under activity-based costing by $214.09 The unit product cost of Product G8 under traditional costing is less than its unit product cost under activity-based costing by $334.17 The una product cost of Product G8 under traditional costing is greater than its unit product under activity-based costing by 533417 The un product cost of Product G8 under traditional costing is less than its unit product cost under activity-based costing by $21409 Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored 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