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Smythe Co. makes furniture. The following data are taken from its production plans for the year Exercise 17-16 Comparing costs under ABC to traditional plantwide

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Smythe Co. makes furniture. The following data are taken from its production plans for the year Exercise 17-16 Comparing costs under ABC to traditional plantwide overhead rate P1 P3 A1 A2 5,870,000 630,000 Hazardous waste costs Tables .211,000 units 254,000 DLH 200 pounds Expected production Direct labor hours required.... Hazardous waste di 17,000 units 16,400 DLH Required 1. Determine the hazardous waste disposal cost per unit for chairs and for tables if costs are assigned using a single plantwide overhead rate based on direct labor hours. 2. Determine hazardous waste disposal costs per unit for chairs and for tables if costs are assigned based Check (2) Tables, $29 65 on the number of pounds disposed of Which method is better for assigning costs to each product? Explain. per unit 3

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