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Question 17 (15 points) Comfort living produces three types of three luggage sets (Carryon, Upright, and Duffel) Quantity Selling price Direct material and direct labour
Question 17 (15 points) Comfort living produces three types of three luggage sets (Carryon, Upright, and Duffel) Quantity Selling price Direct material and direct labour costs Carryon 8,000 sets $800 per set $240 per set Upright 12,000 sets $ 900 per set $500 per set Duffel 6,000 sets $750 per set $260 per set The following were provided on the overhead costs to be assigned to each product Activity Setups Ordering General Overhead Allocation base Setups Orders Machine hours Total Cost $960,000 $192,000 $1,040,000 Carryon Upright 3200 2,600 150 130 8,000 12,000 Duffel 2,200 40 6,000 Format BI U ... Required: 1 1. Compute the activity rates for each activity. (3Marks) Ea Required: 1. Compute the activity rates for each activity. (3Marks) 2. Compute the total amount of overhead to be allocated to each type of luggage. (9 Marks) 3. Compute profit per unit for Duffel luggage. (3 Marks) E
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