Terrific Inc. makes two styles of trophies, basic and deluxe, and operates at capacity. Terrific does large custom orders. Terrific budgets to produce 10,000 basic trophies and 5,000 deluxe trophies. Manufacturing takes place in two production departments: forming and assembly. In the forming department, indirect manufacturing costs are accumulated in two cost pools, set up and general overhead. In the assembly department, all indirect manufacturing costs are accumulated in one general overhead cost pool. The basic trophies are formed in batches of

200 but because of the more intricate detail of the deluxe trophies, they are formed in batches of 50.

Question:

The controller has asked you to compare plant-wide, department, and activity-based cost allocation. Terrific Budgeted Information for the Year Ended November 30, 2017 Forming Department Basic Deluxe Total Direct materials $ 37,700 $ 21,500 $ 59,200 Direct manufacturing labor 31,200 15,300 46,500 Overhead costs: Set up 7,440 Overhead costs: General overhead 34,410 Assembly Department Basic Deluxe Total Direct materials $ 4,800 $ 15,200 $ 20,000 Direct manufacturing labor 15,300 14,700 30,000 Overhead costs: General overhead 36,000 Finally, calculate the unit cost for the basic and deluxe trophies. (Round your final answer to the nearest cent, $X.XX.) Basic Deluxe Total Total direct costs 89,000.00 66,700.00 155,700.00 Allocated overhead Forming Department Assembly Department Total costs Unit cost