Chapter 17 Homework 12 1.42 points Saved Help Save & Exit Submit Check my work Exercise 17-11 (Algo) Computing product cost per unit using plantwide method and activity-based costing LO P1, P3 Consider the following data for two products of Vigano Manufacturing. Activity Budgeted Cost Activity Driver eBook Machine setup Parts handling Quality inspections Hint Total budgeted overhead $ 25,000 (20 machine setups) 20,000 (16,000 parts) 30,000 (100 inspections) $ 75,000 Unit Information Product A Units produced 2,500 units Ask Direct materials cost $ 35 per unit Product Bi 500 units $ 45 per unit $ 55 per unit 2 per unit $ 65 per unit 2.50 per unit Print References Direct labor cost Direct labor hours 1. Using a plantwide overhead rate based on 6,250 direct labor hours, compute the total product cost per unit for each product. 2. Consider the following additional information about these two products. If activity-based costing is used to allocate overhead cost, (a) compute overhead activity rates, (b) allocate overhead cost to Product A and Product B and compute overhead cost per unit for each, and (c) compute product cost per unit for each. Actual Activity Usage Setups Parts Inspections Product A Product B 8 setups 10,000 parts 40 inspections 12 setups 6,000 parts 60 inspections Complete this question by entering your answers in the tabs below. Required 1 Required 2 Consider the following additional information about these two products. If activity-based costing is used to allocate overhead cost, (a) compute overhead activity rates, (b) allocate overhead cost to Product A and Product B and compute overhead cost per unit for each, and (c) compute product cost per unit for each. Note: Round your final answers to 2 decimal places. a. Compute overhead activity rates Activity Machine setup Parts handling Quality inspection Activity Rate $ 1,250.00 per setup S 1.25 per part 300.00 per inspection b. Allocate overhead to Product A, B and compute overhead cost per unit Activity Machine setup Parts handling Quality inspection Total allocated cost Units produced Overhead cost per unit Allocated Cost Product A Product B $ 10,000 $ 15,000 12,000 $ 22,000 $ 2,500 15,000 500 c. Product cost per unit using activity-based costing Per Unit Product A Product B Product Cost per Unit < Previous Required 2 > Mc Graw < Prev 12 of 13 Next > Hill Show less A

Chapter 17 Homework 12 1.42 points Saved Help Save & Exit Submit Check my work Exercise 17-11 (Algo) Computing product cost per unit using plantwide method and activity-based costing LO P1, P3 Consider the following data for two products of Vigano Manufacturing. Activity Budgeted Cost Activity Driver eBook Machine setup Parts handling Quality inspections Hint Total budgeted overhead $ 25,000 (20 machine setups) 20,000 (16,000 parts) 30,000 (100 inspections) $ 75,000 Unit Information Product A Units produced 2,500 units Ask Direct materials cost $ 35 per unit Product Bi 500 units $ 45 per unit $ 55 per unit 2 per unit $ 65 per unit 2.50 per unit Print References Direct labor cost Direct labor hours 1. Using a plantwide overhead rate based on 6,250 direct labor hours, compute the total product cost per unit for each product. 2. Consider the following additional information about these two products. If activity-based costing is used to allocate overhead cost, (a) compute overhead activity rates, (b) allocate overhead cost to Product A and Product B and compute overhead cost per unit for each, and (c) compute product cost per unit for each. Actual Activity Usage Setups Parts Inspections Product A Product B 8 setups 10,000 parts 40 inspections 12 setups 6,000 parts 60 inspections Complete this question by entering your answers in the tabs below. Required 1 Required 2 Consider the following additional information about these two products. If activity-based costing is used to allocate overhead cost, (a) compute overhead activity rates, (b) allocate overhead cost to Product A and Product B and compute overhead cost per unit for each, and (c) compute product cost per unit for each. Note: Round your final answers to 2 decimal places. a. Compute overhead activity rates Activity Machine setup Parts handling Quality inspection Activity Rate $ 1,250.00 per setup S 1.25 per part 300.00 per inspection b. Allocate overhead to Product A, B and compute overhead cost per unit Activity Machine setup Parts handling Quality inspection Total allocated cost Units produced Overhead cost per unit Allocated Cost Product A Product B $ 10,000 $ 15,000 12,000 $ 22,000 $ 2,500 15,000 500 c. Product cost per unit using activity-based costing Per Unit Product A Product B Product Cost per Unit < Previous Required 2 > Mc Graw < Prev 12 of 13 Next > Hill Show less A

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter14: Decentralized Operations

Section: Chapter Questions

Problem 14.1.2P: Budget performance report for a cost center Sneed Industries Company sells vehicle parts to...

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