Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following data are for the two products produced by Tadros Company, 21 47 points Direct materials Direct labor hours Machine hours Batches Volume Engineering

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

The following data are for the two products produced by Tadros Company, 21 47 points Direct materials Direct labor hours Machine hours Batches Volume Engineering modifications Number of customers Market price Product A $13 per unit 0.6 DLH per unit 0.5 MH per unit 120 batches 10,000 units 9 modifications 500 customers $35 per unit Product B $26 per unit 1.5 DLH per unit 1.1 MH per unit 240 batches 2,000 units 45 modifications 400 customers 95 per unit per & 01:15:55 Sunite The company's direct labor rate is $20 per direct labor hour (DLH). Additional information follows. Costs Driver Indirect manufacturing Engineering support Electricity Setup costs Nonmanufacturing Customer service $25,500 Engineering modifications 36,000 Machine hours 41,98 Batches 74,000 Number of customers Required: (Round your per unit cost answers to 2 decimal places and other answers to nearest whole number. Loss amounts should be indicated with minus sign.) 1. Compute the manufacturing cost per unit using the plantwide overhead rate based on direct labor hours. Overhead Assigned Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit Product A 1. Compute the manufacturing cost per unit using the plantwide overhead rate based on direct labor hours. 21 Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit Overhead Assigned Product A 47 points X 01:15.25 Product A Direct material cost per unit Direct labor cost per unit Overhead cost per unit Total manufacturing cost 1.2 What is the gross profit per unit? Product A Market price Manufacturing cost per unit Gross profit per unit 2.1 How much gross profit is generated by each customer of Product A using the plantwide overhead rate? Product A Gross profit per unit Units purchased per customer Gross profit per customer 2.2 What is the cost of providing customer service to each customer? Is the gross profit adequate for each customer of Product A using the plantwide overhead rate? Product A 21 Is the gross profit adequate for each customer of Product A using the plantwide overhead rate? Product A Gross profit per customer Customer service cost per customer Profit (loss) per customer Is the profit adequate? 3.1 Determine the manufacturing cost per unit of Product A using ABC. Engineering Support 47 points 8 01:15:02 Electricity Setup Overhead Assigned Activity Driver Activity rate Total Overhead Cost Product A Engineering support Electricity Setup Total overhead costs assigned Total units produced Overhead cost per unit Total manufacturing costs Direct Materials per unit Direct Labor per unit Product A Product A 21 Total manufacturing costs Direct Materials per unit Direct Labor per unit Overhead per unit Total manufacturing cost per unit 47 points

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Geography Of Finance

Authors: Gordon L. Clark, Darius Wójcik

1st Edition

0199213364, 978-0199213368

More Books

Students also viewed these Finance questions