Question
Nuclear Company has identified the following activities relating to indirect production costs: Activity Activity Costs Cost Drivers Machine Setup $180,000 1800 setup hours Materials Handling
Nuclear Company has identified the following activities relating to indirect production costs:
Activity Activity Costs Cost Drivers
Machine Setup $180,000 1800 setup hours
Materials Handling $50,000 10,000 pounds of materials
Nuclear company has received an order to produce 4000 units of product A. The following information
Number of units produced 4000
Direct Materials Cost $20,000
Direct Labor cost $2,000
Number of setup hours 200
Pounds of Materials used 500
Required: Using the acitvity-based costing approach, calculate total manufacturing cost for this order:
S
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