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The Anchorage plant of the Tundra Company produces two calculators and has two production departments: assembly and packaging. Information for the products is given below:

The Anchorage plant of the Tundra Company produces two calculators and has two production departments: assembly and packaging. Information for the products is given below: image text in transcribed
The Anchorage plant of the Tundra Company produces two calculators and has two production departments: assembly and packaging. Information for the products is given below Deluxe 20,000 S160,000 20,000 60 10,000 2,000 Regular 200,000 $1,500,000 160,000 40 80,000 16,000 120 Total Units produced Prime costs Direct labor hours Number of setups Machine hours Inspection hours Number of moves $1,660,000 180,000 100 90,000 18,000 300 180 The following table presents activity information about the departments and products Assembly Packaging Total Direct labor hours: Deluxe Regular 10,000 10,000 10.000 20,000 Total Machine hours: Deluxe Regular 2,000 8,000 0,000 80,000 8,000 Total Overhead Costs: Setting equipment Moving material Machining Inspection Total $120,000 60,000 20,000 S120,000 60,000 180,000 $240,000 120,000 200,000 a. Compute the predetermined overhead rate for each department if Assembly uses labor hours and Packaging uses machine hours. b. Calculate the per unit cost for each product if departmental overhead rates are used. Round to 2 decimal places) Compute the predetermined plant-wide overhead rate based on direct labor hours. c. d. Calculate the per unit cost of each product if a plantwide overbead rate is used (Round to 2 decimal places) e. Calculate the overhead rates for each overhead activity. f. Calculate the per unit cost of each product if activity rates are used to assign overthead. Round to 2 decimal places)

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