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With the following information determine the cost per unit by calculating: direct labor, direct materials, indirect expenses: 1. In the production area there are 3
With the following information determine the cost per unit by calculating: direct labor, direct materials, indirect expenses: 1. In the production area there are 3 equipment operators who charge by the hour for product D. Each one earns $ 12/ hour and they have 25% profit. They have worked 1780 hours, 1920 hours, and 1600 hours without incurring overtime. 2. In the production area there are 4 products with the following volumes produced per year: A (150,000), B (120,000), C (132,000), D (60,000). We are interested in D. Cost 3. In the production area there are 2 packers for D who charge by the hour and charge at $ 10/hour, they worked 1920 hours a year and have a 20% profit. 4. In the production area there is a supervisor for the department who charges $ 45,000 per year and has a profit of 30%. 5. In the production area there is a quality inspector for D who charge by the hour and charge at $ 20/ hour, they worked 1920 hours a year and have a 25% profit. 6. The following is the list of materials to make product D. For each D you need: Part Use > 10 Screws 4" = $ 0.20 each 620,000 > 10 Nuts = $ 0.08 each 623,000 > 2 platforms. = $ 1.23 each 122,000 >0.5 oz of paint = $ 0.80 / Oz 1880 pounds > 4 wheels = $ 0.85 each 248,000 > 2 hydraulic axles. = $ 1.30 each 121,000 7. 7. The following indirect costs are departmental per year. > Utilities $ 12,500 > Professional Services $ 24,000 > Depreciation $ 15,000 > MRO $ 34,000 > Others. $ 4,500 How much is the cost per unit of product D
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