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st Consider the following data for two products of Gitano Manufacturing. (Loss amounts should be indicated with a minus sign. Round OH rate and cost

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st Consider the following data for two products of Gitano Manufacturing. (Loss amounts should be indicated with a minus sign. Round "OH rate and cost per unit" answers to 2 decimal places.) Number of units produced Direct labor cost (@$24 per DLH) Direct materials cost Product A 10,8e8 units 0.20 DLH per unit $ 2 per unit Product B 2,000 units 0.25 DLH per unit $ 3 per unit Activity Machine setup Materials handling Quality control inspections Overhead costs $121, een 48,000 Be, e $249,000 i. Using direct Inbor hours on the basis for assigning overhead costs, determine the total production cost per unit for anch product Ene. 0 OH Cost per Overhead Assigned Activity Driver Plantwide OH rate Total Overhead Cost Units Produced unit Product A Product B Product A Product B 2. If the market price for Product A is $20 and the market price for Product B is 560, determine the profit or loss per unit for each product. Product A Product B Market price 3. Consider the following additional information about these two product lines. If ABC is used for assigning overhead costs to products, what is the cost per unit for Product A and for Product B? Product A Product B Number of setups required for production 10 setups 12 setups Number of parts required 1 part unit 3 part/unit I purvuri paruun Number of pers required Inspection hours required 40 hours 210 hours Machine setup 0 Materials handling Quality control Overhead Assigned Activity Driver Activity rate Total Overhead Cost- Product A Machine setup Materials handling Quality control Product B Machine setup Materials handling Quality control Quality control $ 0 Product A Product B Total manufacturing costs Direct Materials per unit Direct Labor per unit Overhead per unit Total manufacturing cost per unit 4. Determine the profit or loss per unit for each product assuming ABC costing. Product A Product B Market price 4.2 Should this information influence company strategy? Yes No Drau

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