Value$-$Stream Costing Objective

During the week of June $12,$ Harrison Manufacturing produced and shipped $15,000$ units of its aluminum wheels: $3,000$ units of Model A and $12,000$ units of Model B$.$ The following costs were incurred:

Materials

Salaries$/$

Wages

Machining

Other

Total Cost

Order processing

$$18,000$

$$18,000$

Production planning

$36,000$

$36,000$

Purchasing

$27,000$

$27,000$

Stamping

$$375,000$

$37,500$

$$36,000$

$$18,000$

$466,500$

Welding

$150,000$

$42,000$

$42,000$

$12,000$

$246,000$

Cladding

$75,000$

$75,000$

Testing

$10,500$

$10,500$

Packaging and shipping

$9,000$

$9,000$

Invoicing

$12,000$

$12,000$

Total

$$600,000$

$$192,000$

$$78,000$

$$30,000$

$$900,000$

$2.$ Calculate the unit cost for Models A and B$.$

Unit Cost

Model A

$

fill in the blank $2$

Model B

$

fill in the blank $3$

$3.$ What if Model A is responsible for $40$ percent of the materials cost? Calculate the unit materials cost for Models A and B$.$

Unit Cost

Model A

$

fill in the blank $4$

Model B

$

fill in the blank $5$

Calculate the total unit cost for Models A and B$.$

Unit Cost

Model A

$

fill in the blank $6$

Model B

$

fill in the blank $7$