Cracchiolo, Inc., manufactures and sells two products: Product H2 and Product A8. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Expected Production Direct Labor-Hours Per Unit Total Direct Labor-HoursProduct H2200 7.0 1,400 Product A8800 8.0 6,400 Total direct labor-hours 7,800 The direct labor rate is $15.10 per DLH. The direct materials cost per unit is $145.80 for Product H2 and $261.90 for Product A8.The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity:Activity Cost PoolsActivity MeasuresEstimated Overhead CostExpected Activity???Product H2Product
A8TotalLabor-relatedDLHs$83,148 1,4006,4007,800Production ordersorders 18,970 400300700Order sizeMHs 817,191 5,0005,10010,100 $919,309 If the company allocates all of its overhead based on direct labor-hours using its traditional costing method, the overhead assigned to each unit of Product A8 would be closest to: (Round your intermediate calculations to 2 decimal places.)
A. $85.28 per unit
B. $942.88 per unit
C. $216.80 per unit
D. $647.28 per unit
Answer: B
You might also like to view...
Susan selects and runs her focus groups carefully. She wants to make sure that each focus group member provides meaningful information for her research purpose
As she is examining potential focus group candidates, she notices that three men and two women seem to provide "yes" answers regardless of what she asks them. They seem to want to be on the focus group very badly and appear eager to be "good subjects." If Susan follows prudent testing methodology, she should reject these test subjects in order to avoid the possibility of which of the following? A) Stimulus generalization B) Order bias C) Response D) Spontaneous recovery
Rex and Kelsey are partners who share income in the ratio of 3:2 . Their capital balances are $95,000 and $140,000, respectively. Income Summary has a credit balance of $40,000 after the second closing entry. What is Pia's capital balance after closing Income Summary to the capital accounts?
a. $71,000 b. $119,000 c. $146,000 d. $111,000
Describe how retailers and manufacturers are employing shopper marketing
What will be an ideal response?
Availability is mentioned in the text as a primary criterion for evaluating secondary data
Indicate whether the statement is true or false