. Activity Costs Caused by Suppliers (testing failures and reordering as a result) Activity Costs Testing components $1,200,000 Reordering components 300,000 II. Supplier Data Alpha Electronics La Paz Company 125X 30Y 125X 30Y Unit purchase price $10 $26 $12 $28 Units purchased 120,000 81,700 15,000 15,000 Failed tests 1,300 780 10 10 Number of reorders 60 40 0 0 Required: Determine the cost of each supplier by using ABC. Round Test and Reorder rates to the nearest dollar, and final answers to the nearest cent. Alpha Electronics La Paz Company 125X 30Y 125X 30Y Unit cost: $fill in the blank $fill in the blank $fill in the blank $fill in the blank
. Activity Costs Caused by Suppliers (testing failures and reordering as a result) Activity Costs Testing components $1,200,000 Reordering components 300,000 II. Supplier Data Alpha Electronics La Paz Company 125X 30Y 125X 30Y Unit purchase price $10 $26 $12 $28 Units purchased 120,000 81,700 15,000 15,000 Failed tests 1,300 780 10 10 Number of reorders 60 40 0 0 Required: Determine the cost of each supplier by using ABC. Round Test and Reorder rates to the nearest dollar, and final answers to the nearest cent. Alpha Electronics La Paz Company 125X 30Y 125X 30Y Unit cost: $fill in the blank $fill in the blank $fill in the blank $fill in the blank
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
I. Activity Costs Caused by Suppliers (testing failures and reordering as a result)
| Activity | Costs |
| Testing components | $1,200,000 |
| Reordering components | 300,000 |
II. Supplier Data
| Alpha Electronics | La Paz Company | ||||||||||||
| 125X | 30Y | 125X | 30Y | ||||||||||
| Unit purchase price | $10 | $26 | $12 | $28 | |||||||||
| Units purchased | 120,000 | 81,700 | 15,000 | 15,000 | |||||||||
| Failed tests | 1,300 | 780 | 10 | 10 | |||||||||
| Number of reorders | 60 | 40 | 0 | 0 |
Required:
Determine the cost of each supplier by using ABC. Round Test and Reorder rates to the nearest dollar, and final answers to the nearest cent.
| Alpha Electronics | La Paz Company | ||||
| 125X | 30Y | 125X | 30Y | ||
| Unit cost: | $fill in the blank | $fill in the blank | $fill in the blank | $fill in the blank |
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