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Russell Corp. manulactures computer desks in its Boston. Massachusetts, plant. The company uses actritycbased costing to allocate all manufacturing conversion costs (direct labor and manulacturing

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Russell Corp. manulactures computer desks in its Boston. Massachusetts, plant. The company uses actritycbased costing to allocate all manufacturing conversion costs (direct labor and manulacturing overhead). its activities and related data follow. EIt (Click the icon to view the activity areas and rolated data.) ussell produced two styles of desks in March: the Standard desk and Unpainted desk. Data for tach follow: Requirements 1. Compute the per-unit manufacturing product cost of Standard desks and Unpainted desks. 2. Premanufacturing activities, such as product design, were assigned to the Standard desks at $4 each and to the Unpainted desks at $3 ebch. Similar analyses were conducted of post-manufacturing aefivitios, such as distribution, marketing, and customer service. The post-manufacturing costs were $23 per Standard and $20 per Unpainted desk. Compute the full product costs per desk. 3. Which product costs are reported in the external financial statements? Which costs are used for management decision making? Explain the difference. 4. What price should Russells managers set for Standard desks to earn a $43 profit per desk? Requirement 1. Compute the per-unit manulacturing product cost of Standard desks and Unpainted desks. (Complete afl ingut foldk. Enter a 'Or lor ary zero amounis. Round your answers to the noarest whole dollar.) Requirement 2. Premanutacturing activies, such as product design, were assigned to the Standard desks at \$4 each and to the Unpainted desks at \$3 each. Similar analyses were conducted of post-manulacturing activies such as distribution, markoting, and customer service. The post-manulacturing conts were $23 per Standard and $20 per Unpainted desk Computo the ful product costs per desk Requirement 3. Which product costs are reported in the ectemat finandial statements? Which costs are used for management decision making? Explain the difference. are reported in the financial statements Managers use product emphasis. Full product costs include the reporting. However, these costs otten are for decisions such as pricing and that are expensed as incurred for externa

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