Please help
Consider the following data for two products of Gitano Manufacturing. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations and "OH rate and cost per unit" answers to 2 decimal places.)
| | Product A | Product B |
| Number of units produced | 12,500 units | 1,800 units |
| Direct labor cost (@ $27 per DLH) | 0.16 DLH per unit | 0.27 DLH per unit |
| Direct materials cost | $ 2.10 per unit | $ 2.70 per unit |
| |
| Activity | Overhead costs |
| Machine setup | | $ | 109,206 | |
| Materials handling | | | 53,000 | |
| Quality control inspections | | | 64,020 | |
| | | $ | 226,226 | |
| |
Consider the following data for two products of Gitano Manufacturing. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations and "OH rate and cost per unit" answers to 2 decimal places.) Number of units produced Direct labor cost (@ $27 per DLH) Direct materials cost Product A 12,500 units 0.16 DLH per unit $ 2.10 per unit Product B 1,800 units 0.27 DLH per unit $ 2.70 per unit Activity Machine setup Materials handling Quality control inspections Overhead costs $109,206 53,000 64,020 $226, 226 Required: 1. Using direct labor hours as the basis for assigning overhead costs, determine the total production cost per unit for each product line. Overhead costs $ 91.00 per direct labor hour 226,226 s 2,486 Direct labor hours Overhead Assigned Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit Product A 2,000 $ 91.00 $ 182.000 12,500 $ 14.56 Product B 486 $ 91.00 $ 44 226 1,800 $ 24.57 Product B Product A 2.10 $ S 2.70 Total manufacturing cost per unit: Direct material cost per unit Direct labor cost per unit Overhead cost per unit Total manufacturing cost 4.32 7.29 24.57 14.56 20.98 $ $ 34.56 2. If the market price for Product A is $26.1 and the market price for Product B is $56, determine the profit or loss per unit for each product. Product A Product B Market price $ 26.105 56.00 Manufacturing cost per unit (20.98) (34.56) Profit(loss) per unit $ 19.68 S 46.01 3. Consider the following additional information about these two product lines. If ABC is used for assigning overhead costs to products, what is the cost per unit for Product A and for Product B? 1 Consider the following data for two products of Gitano Manufacturing. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations and "OH rate and cost per unit" answers to 2 decimal places.) Number of units produced Direct labor cost (@ $27 per DLH) Direct materials cost Product A 12,500 units 0.16 DLH per unit $ 2.10 per unit Product B 1,800 units 0.27 DLH per unit $ 2.70 per unit Activity Machine setup Materials handling Quality control inspections Overhead costs $109,206 53,000 64,020 $226, 226 Required: 1. Using direct labor hours as the basis for assigning overhead costs, determine the total production cost per unit for each product line. Overhead costs $ 91.00 per direct labor hour 226,226 s 2,486 Direct labor hours Overhead Assigned Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit Product A 2,000 $ 91.00 $ 182.000 12,500 $ 14.56 Product B 486 $ 91.00 $ 44 226 1,800 $ 24.57 Product B Product A 2.10 $ S 2.70 Total manufacturing cost per unit: Direct material cost per unit Direct labor cost per unit Overhead cost per unit Total manufacturing cost 4.32 7.29 24.57 14.56 20.98 $ $ 34.56 2. If the market price for Product A is $26.1 and the market price for Product B is $56, determine the profit or loss per unit for each product. Product A Product B Market price $ 26.105 56.00 Manufacturing cost per unit (20.98) (34.56) Profit(loss) per unit $ 19.68 S 46.01 3. Consider the following additional information about these two product lines. If ABC is used for assigning overhead costs to products, what is the cost per unit for Product A and for Product B? 1
