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Problem 19-02A a-b Bel Company, a manufacturer of audio systems, started its production in October 2020. For the preceding 3 years, Bell had been a
Problem 19-02A a-b Bel Company, a manufacturer of audio systems, started its production in October 2020. For the preceding 3 years, Bell had been a retailer of audio systems. After a thorough survey of audio system markets, Bell decided to turn its retail store into an audio equipment factory Raw material costs for an audio system will total $74 per unit. Workers on the production lines are on average paid $12 per hour. An audio system usually takes 5 hours to complete. In addition, the rent on the equipment used to assemble audio systems amounts to $4,900 per month. Indirect materials cost $5 per system. A supervisor was hired to oversee production; her monthly salary is $3,000 Factory janitorial costs are 59,000 per year 1,300 monthly. Advertising costs for the audio system will be9,500 per month. The factory building depreciation expense is S7 800 per year. Property taxes on the factory building will be Your a is patially correct. Try again. Assuming that Bell manufactures, on average, 1,500 audio systems per month, enter each ost item on your answer sheet, placing the dollar amount per month under the appropriate headings. Total the dollar amounts in each of the columns Product Costs Direct Materials Direct Labor Manufacturing Overhead Period Costs Cost Item Raw materials 75000 Wages for workers 70,000 Rent on equipment 5,200 Indirect materials 6000 Factory supervisor's salary 3500 Janitorial costs 1800 Advertising 9000 Depreciation on factory building 600 th Property taxes on factory building 700 75,000 70,000 17,800 9000 xYour answer is incorrect. Try again Compute the cost to produce one audio system. (Round answer to 2 decimal places, e.g. 15.25.) Production cost per system 162.80
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