Question
*****Revised***** A company manufactures two products, X and Y, using the same equipment and similar processes. Data for the production of these items in one
*****Revised*****
A company manufactures two products, X and Y, using the same equipment and similar processes. Data for the production of these items in one period is shown below:
Quantity produced per period x y
Material cost per unit 20,000 10,000
Direct labor hours per unit 20
Machine hours per unit 0.5
Set-ups per period 4
Orders handled per period 70
Cost per direct labor hour 160
Overhead Costs $
Relating to machine activity 300,00
Relating to set-ups of production runs 50,000
Relating to handling of orders 70,000
Using activity-based costing, what is the full production cost per unit X?
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