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Ohno Company specializes in manufacturing a unique model of bicycle helmet. The model is well accepted by consumers, and the company has enough orders to
Ohno Company specializes in manufacturing a unique model of bicycle helmet. The model is well accepted by consumers, and the company has enough orders to keep the factory production at 10,000 helmets per month (80% of its full capacity). Ohno's monthly manufacturing cost and other expense data are as follows. Rent on factory equipment $11,300 Insurance on factory building 1,700 Raw materials (plastics, polystyrene, etc.) 84,800 Utility costs for factory 1.000 Supplies for general office 300 Wages for assembly line workers 65.700 Depreciation on office equipment Miscellaneous materials (glue, thread, etc.) 1,300 Factory manager's salary 6,500 Property taxes on factory building 500 Advertising for helmets 15.100 Sales commissions 11,000 Depreciation on factory building 1,600 800 (a) Your answer is correct. Direct ME Enter each cost item on your answer sheet, placing the dollar amount under the appropriate headings. Total the dollar amounts in each of the columns Product Costs Direct Materials Labor Rent on factory equipment Insurance on factory building Raw materials Cost Item $ i 84,800 Utility costs for factory Supplies for general office Wages for assembly line workers Depreciation on office equipment Miscellaneous materials 65.700 0 Enter each cost item on your answer sheet, placing the dollar amount under the appropriate headings. Total the dollar amounts in each of the columns. Product Costs Direct Labor Direct Materials M Cost Item Rent on factory equipment IA Insurance on factory building Raw materials 84.800 i Utility costs for factory i 65.700 0 Supplies for general office Wages for assembly line workers Depreciation on office equipment Miscellaneous materials Factory manager's salary Property taxes on factory building Advertising for helmets Sales commissions Depreciation on factory building $ 84.800 $ 65,700 $ eTextbook and Media Attempts: 2 of 5 used (b) Compute the cost to produce one helmet. (Round answer to 2 decimal places, eg. 15.25.) Production cost per helmet $ $ Enter each cost item on your answer sheet, placing the dollar amount under the appropriate headings. Total the dollar amounts in each of the columns Product Costs Direct Labor Manufacturing Overhead Period Costs ils $ TA 11,300 $ 1.700 84,800 1,000 300 65,700 0 0 i 0 800 1.300 6,500 Me 500 i 15.100 11,000 1,600 84.800 $ 65.700 $ 23.900 $ 27,200 e Textbook and Media Attempts: 2 of 5 used (b) Compute the cost to produce one helmet. (Round answer to 2 decimal places, eg. 15.25.) Production cost per helmet $ $
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