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QUESTION 1 Kinta Bhd. produces two models of washers: AA and BB model. The product costing data is provided in the following table: Activity Usage

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QUESTION 1 Kinta Bhd. produces two models of washers: AA and BB model. The product costing data is provided in the following table: Activity Usage Measures Activity Cost Data (Overhead Activities) AA BB Total Activity Units produced 10 100 110 Activity Cost Direct materials RM800 RM8,000 RM8,800 (RM) Direct labour hours 20 100 Assembly 500 Machine hours 10 40 50 Machining 1,500 Setup hours 3 1 4 Setting up 1,000 equipment Number of moves 6 4 10 Moving goods 1,000 Total 4,000 80 Required: a) Calculate the overhead rates for each activity. b) Calculate the total overhead cost per unit for each model. c) Calculate the total manufacturing cost per unit for each model. (6 marks) (13 marks) (6 marks)

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