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The following data are for the two products produced by Tadros Company. Product A Direct materials Direct labor hours Machine hours Product B $30 per

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The following data are for the two products produced by Tadros Company. Product A Direct materials Direct labor hours Machine hours Product B $30 per unit 1.5 DLH per unit 1.2 MH per unit 360 batches. 3,600 units 82 modifications 720 customers $15 per unit 0.5 DLH per unit 0.4 MH per unit. 200 batches 16,000 units 18 modifications 800 customers $60 per unit Batches. Volume Engineering modifications Number of customers Market price $240 per unit The company's direct labor rate is $20 per direct labor hour (DLH). Additional information follows. Costs Driver Indirect manufacturing Engineering support $ 53,600 Engineering modifications Electricity Machine hours 42,880 171,520 Batches Setup costs Nonmanufacturing 129,200 Number of customers Customer service (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 costs o per direct labor hour Direct labor hours Overhead Assigned Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit Product A Product B Product A Product B Direct material cost per unit Direct labor cost per unit Overhead cost per unit 29.29 1.2 What is the gross profit per unit? Product A Product B Market price Gross profit per unit 2.1 How much gross profit is generated by each customer of Product A and Product 8 using the plantwide overhead rate? Product A Product B Gross profit per unit Units purchased per customer Prey 1 of 4 Scom onun 2.1 How much gross profit is generated by each customer of Product A and Product B using the plantwide overhead rate? Product A Product B 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? 0 Is the gross profit adequate for each customer of Product A and B using the plantwide overhead rate? Product A Product B 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 each product line using ABC. Engineering Support Electricity of Setup Tatal Curhand Overhead Assigned Product A Engineering support Electricity Setup Product B Engineering support Electricity Setup Total manufacturing costs Direct Materials per unit Direct Labor per unit Overhead per unit Total manufacturing cost per unit 3.2 What is the gross profit per unit? Market price Activity Driver Product A Product A (31.03) Product B Product B Activity rate (107.64) $ Total Overhead Cost $ 0 0 Overhead per unit Total manufacturing cost per unit 3.2 What is the gross profit per unit? Product A Product B Market price (31.03) (107.64) 4.1 How much gross profit is generated by each customer of Product A and Product B using ABC? Product A Product B Units purchased per customer Gross profit (loss) per customer 4.2 Is the gross profit adequate for each customer of Product A and B using ABC? Product A Product B Gross profit (loss) per customer Customer service cost per customer Profit (loss) per customer Is the profit adequate using ABC? 5. Which method of product costing gives better information to managers of this company? Method of product costing for better information

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