Problem Activity Based CostingZeta company has identified the following overhead costs and costdrivers for the upcoming yearExpectedCostsOverhead ItemCost DriverQuantityNumber ofSetup costs$45,000300setupsNumber ofMaterial Handling$90,0007,500material movesNumber ofQuality Cost$150,0006,000InspectionsMachining Cost$67,500 Machine Hours900Total$352,500The following information was collected on three jobs that werecompleted during the yearJob 201$6,000$2,800Job 202$12,000$2,000Job 203$8,000$4,000Direct materialsDirect laborUnits completed30150Direct labor-hours182215Machine hours105010Number of setups14Number of Inspections1030Number of material1050movesFor the year the company budgeted direct labor cost of $100,000,budgeted direct material cost of $280,000, and estimated labor hoursof 5,000.Determine the unit cost for each job using Activity Based Costing.(Round amounts to 2 decimal places.)2030

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Answered: Determine the unit cost for each job…

Business

Accounting

Determine the unit cost for each job using Activity Based Costing. (Round amounts to 2 decimal places.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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