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Please solve for the empty blanks in REQUIREMENT 4 (and show calculations). Thank you! i Data Table - X Pumpkin Bags Budget for Costs and
Please solve for the empty blanks in REQUIREMENT 4 (and show calculations). Thank you!
i Data Table - X Pumpkin Bags Budget for Costs and Activities For the Year Ended February 29, 2020 Direct materials-purses $ 303,800 Direct materials-backpacks 461,700 Direct manufacturing labor-purses 93,000 Direct manufacturing labor-backpacks 97,200 Setup 114,400 Shipping 72,400 Design 168,000 Plant utilities and administration 249,000 Total $ 1,559,500 Other budget information follows: Backpacks Purses Total Number of bags 6,075 3,100 9,175 Hours of production 1,555 2,595 4,150 Number of batches 150 50 200 Number of designs 3 6 3 Print Done Pumpkin Bags (PB) is a designer of high-quality backpacks and purses. Each design is made in small batches. Each spring, PB comes out with new designs for the backpack and the purse. The company uses these designs for a year and then moves on to the next trend. The bags are all made on the same fabrication equipment that is expected to operate at capacity. The equipment must be switched over to a new design and set up to prepare for the production of each new batch of products. When completed, each batch of products is immediately shipped to a wholesaler. Shipping costs vary with the number of shipments. Budgeted information for the year is as follows: (Click the icon to view the budgeted information.) Read the requirements. Cost Cost driver rate $ 303,800 + DM-purses DM-backpacks 98.00 per purse Total quantity of cost driver = 3,100 = $ 6,075 = $ $ 461,700 + 76.00 per backpack DL-purses $ 93,000 + 3,100 = $ 30.00 per purse DL-backpacks $ 97,200 6,075 = $ 16.00 per backpack 572.00 per batch Setup costs $ 114,400 + 200 = $ $ 72,400 200 = Shipping costs Design costs Plant util. and admin. $ 362.00 per batch $ 28,000.00 per design $ 168,000 + 6 = 249,000 - 4,150 = $ 60.00 per hour Requirement 4. Calculate the budgeted total costs and cost per unit for each product line. Backpacks 461,700 97,200 Direct materials Direct labor Setup Shipping Design Plant utilities and administration Total costsStep by Step Solution
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