Value$-$Stream Average Costing, ABC, DBC

The conversion cost resource consumption patterns are shown as follows:

Required:

Calculate the ABC product cost $($conversion cost$)$ for Models $K$ and R$.$ Round dollars to $2$ decimal places.

very different in terms of the demands they place on value$-$stream resources $.$

Model K$

Model R $

DBC $!,$ ABC costs quite well and has the simplicity needed for a lean manufacturing environment. Thus, whenever there are

approach than average costing and a viable alternative to features and characteristics costing.