Question
Stuart Boards produces two kinds of skateboards. Selected unit data for the two boards for the last quarter follow: Basco Boards Shimano Boards Production
Stuart Boards produces two kinds of skateboards. Selected unit data for the two boards for the last quarter follow: Basco Boards Shimano Boards Production costs Direct materials Direct labor Allocated overhead Total units produced and sold Total sales revenue $ 25.50 $ 39.00 $ 31.50 $ 54.00 $ 15.75 $ 21.00 5,500 9,500 $ 503,250 $ 1,282,500 Stuart allocates production overhead using activity-based costing. It allocates delivery expense and sales commissions, which amount to $61,500 per quarter, to the two products equally. Required a. Compute the per-unit cost for each product. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. b. Compute the profit for each product. a. Cost per unit b. Profit Basco Boards Shimano Boards
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