Based on WireBuzz’s current traditional costing system, as outlined in the case, calculate the total cost and unit cost expected for the PBP and the LWTP wall key pads. Cannot use a plant wide rate to solve this question. Can use other forms of traditional costing systems. PBP LWTP Total Selling price $170.00 $340.00 Units in 2021/22 62,000.00 35,000.00 97,000.00 Traditional costing system PBP LWTP Total Budgeted direct materials cost $5,580,000.00 $5,250,000.00 $10,830,000 Direct labour hours per unit (20$/h) 1.5 4 Machine hours per unit 1 2 Direct labour cost $1,860,000.00 $2,800,000.00 Manufacturing Overheads PBP LWTP Total Costs Material-related $837,000.00 $787,500.00 $1,624,500.00 Variable manufacturing $465,000.00 $700,000.00 $1,165,000.00 Machine-related $1,364,000.00 $1,540,000.00 $2,904,000.00 $5,693,500.00

Based on WireBuzz’s current traditional costing system, as outlined in the case, calculate the total cost and unit cost expected for the PBP and the LWTP wall key pads. Cannot use a plant wide rate to solve this question. Can use other forms of traditional costing systems. PBP LWTP Total Selling price $170.00 $340.00 Units in 2021/22 62,000.00 35,000.00 97,000.00 Traditional costing system PBP LWTP Total Budgeted direct materials cost $5,580,000.00 $5,250,000.00 $10,830,000 Direct labour hours per unit (20$/h) 1.5 4 Machine hours per unit 1 2 Direct labour cost $1,860,000.00 $2,800,000.00 Manufacturing Overheads PBP LWTP Total Costs Material-related $837,000.00 $787,500.00 $1,624,500.00 Variable manufacturing $465,000.00 $700,000.00 $1,165,000.00 Machine-related $1,364,000.00 $1,540,000.00 $2,904,000.00 $5,693,500.00

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter11: Differential Analysis And Product Pricing

Section: Chapter Questions

Problem 19E

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	PBP	LWTP	Total
Selling price	$170.00	$340.00
Units in 2021/22	62,000.00	35,000.00	97,000.00

Traditional costing system
	PBP	LWTP	Total
Budgeted direct materials cost	$5,580,000.00	$5,250,000.00	$10,830,000
Direct labour hours per unit (20$/h)	1.5	4
Machine hours per unit	1	2
Direct labour cost	$1,860,000.00	$2,800,000.00

Manufacturing Overheads	PBP	LWTP	Total Costs
Material-related	$837,000.00	$787,500.00	$1,624,500.00
Variable manufacturing	$465,000.00	$700,000.00	$1,165,000.00
Machine-related	$1,364,000.00	$1,540,000.00	$2,904,000.00
			$5,693,500.00