Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Sex Springs, Inc., makes two sizes of box springs: bwin and double. The direct material for the twin is $25 estimates will make 5,000
Sex Springs, Inc., makes two sizes of box springs: bwin and double. The direct material for the twin is $25 estimates will make 5,000 twins and 10,000 doubles in the next year. It estimates the overhead for each c Activity Cost Pools Framing Driver Square Feet of Pine Estimated Use per se per Overhead Twin $270,000 Fadding Square Feet of Quilting rilling Labeling Inspection Square Feet of Filling Double 6,000 3,000 220,000 110,000 110,000 300,000 30,000 300,000 Number of Boxes 125,000 800,000 450,000 180,000 12.000 6,000 unit and $40 is used in direct laber, while the direct material for the dole is 545 per unit, and the labor cost is $50 per Springs 1 pool and cost driver activities as follows Number of Inspections How much does each unit cost to manufacture? Do not round intermediate computations but round final answers for the fields below to t whole number Total Cost per Unit Direct Material Direct Labor Cest Overhead Total per Unit Twin Double 45 40 50 The total cost per unit is determined by adding the per unit rates for direct material, direct labor cast, and overhead rate. The overhead cats involves the allocation of estimated overhead are on that below To determine the activity rate, divide the total of each driver (our of driver amounts for both products) into the estimated corresponding overheat amounts for each cast d The activity rate is then applied to the 'amount of use per product. The total of all of these amounts is divided by the edimated units to be completed for each product) to determine the overhead rate product
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started