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Required Information Problem 04-5A Pricing analysis with ABC and a plantwide overhead rate LO A1, A2, P1, P3 [The following information applies to the questions
Required Information Problem 04-5A Pricing analysis with ABC and a plantwide overhead rate LO A1, A2, P1, P3 [The following information applies to the questions displayed below.] Sore's Salsa Company produces its condiments in two types: Extra Fine for restaurant customers and Family Style for home use. Salss is prepared in department 1 and packaged in department 2. The activities, overhead costs, and drivers associated with these two manufacturing processes and the company's production support activities follow. Process Department 1 Activity Mixing Cooking Product testing Overhead cost $ 5,280 18,888 113,20 Driver Machine hours Machine hours Batches Quantity 1.600 1,600 589 $ 129,200 Department 2 750 Machine calibration Labeling Defects $285, eee 18,580 5, eee Production runs Cases of output Cases of output 155.000 155,000 $ 320, see Support se Recipe formulation Heat, lights, and water Materials handling $ 97,000 34, ege 72,000 $ 283, ese Focus groups Machine hours Container types 1,60 8 Additional production information about its two product lines follows. Extra Fine 27,02e cases 278 batches Fanily Style 129,208 cases 230 batches 1.2 MH 10 groups 2 containers Units produced Batches Machine hours Focus groups Container types Production runs See MH 40 groups 6 containers 27e runs 488 runs Problem 04-5A Part 4 4. Using ABC, compute the total cost per case for each product type if the direct labor and direct materials cost is $10 per case of Extra Fine and $9 per case of Family Style (Round your Intermediate calculations to 2 decimal places. Round "Activity Rate" and "Overhead cost per unit" answers to 2 decimal places.) Extra fine Family Style Activity Overhead Coat Activity Drivere Activity Rate Activity Drivers Overhead asalgned Activity Drivers Overhead assigned Mixing & Cooking Product testing Machine calibration Labeling & Defects Recipe formulation Heat, light and water Material handling Total overhead casts assigned Extra fine Familly Style
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