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Problem 17-1A Comparing costs using ABC with the plantwide overhead rate LO P1, P3, A1, A2 The following data are for the two products
Problem 17-1A Comparing costs using ABC with the plantwide overhead rate LO P1, P3, A1, A2 The following data are for the two products produced by Tadros Company. Direct materials Direct labor hours Machine hours Batches Volume Engineering modifications Number of customers Market price Product A $15 per unit 0.3 DLH per unit 0.1 MH per unit 125 batches 10,000 units Product B $24 per unit 1.6 DLH per unit. 1.2 MH per unit 225 batches 2,000 units 58 modifications 12 modifications 400 customers $120 per unit 500 customers $30 per unit The company's direct labor rate is $20 per direct labor hour (DLH). Additional information follows. Indirect manufacturing Engineering support Electricity Setup costs Nonmanufacturing Customer service Costs Driver $24,500 Engineering modifications: 34,000 Machine hours 52,500 Batches 81,000 Number of customers Required: (Loss amounts should be indicated with minus sign. Round your per unit cost answers to 2 decimal places.)
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