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Sander Company produces mathematical and financial calculators and operates at capacity Data related to the two products follows (Click the icon to view the data)
Sander Company produces mathematical and financial calculators and operates at capacity Data related to the two products follows (Click the icon to view the data) Total manufacturing overhead costs are: (Click the icon to view the overhead costs.) Requirements 1. Choose a cost driver for each overhead cost pool and calculate the manufacturing overhead cost per unit for each product 2. Compute the manufacturing cost per unit for each product 3. How might Sander's managers use the new cost information from its activity based costing system to better manage its business? Requirement 1. Choose a cost driver for each overhead cost pool and calculate the manufacturing overhead cost per unit for each product Begin by choosing a cost driver for each overhead cost pool Cost driver Rate Activity Machining - X Data Table Set up Inspection - Data Table $ Machining costs Setup costs Inspection costs Total 360,000 108 000 117.000 Mathematical Financial 45 000 90 000 S 180,000 $ 360.000 S 90 000 $ 180 000 4.500 9,000 30 000 60.000 45 45 Print Annual production in units Direct materials cost Direct manufacturing labor cost Direct manufacturing labor-hours Machine-hours Number of production runs Inspection hours Done 1 200 600 Clear All Check Answe
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