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Tech Corp. produces three products: phones, tablets, and computers. Tech uses department overhead rates for Assembly and Packing, both of which are based on machine
Tech Corp. produces three products: phones, tablets, and computers. Tech uses department overhead rates for Assembly and Packing, both of which are based on machine hours. The following information is available for the next period: Product Phones Tablets Computers Units produced 1,000 1,000 2,000 Machine hours per unit (Assembly) 1 3 2 Machine hours per unit (Packing) 1 1 1 Direct labor hours per unit 2 2 2 Direct materials cost per unit $10 $90 $30 Note that the direct labor wage rate is a flat $25 per hour with no overtime incurred. Also, total overhead costs are $400,000 for the Assembly Department and $240,000 for the Packing Department. Calculate the total product cost per unit of computers. Direct material cost per unit Direct labor cost per unit Overhead cost per unit Total product cost per unit
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