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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. Budgeted Cost Activity Machine setup Parts handling Quality inspections Total budgeted overhead Unit Information Units produced Direct materials cost Direct labor cost Direct labor hours Actual Activity Usage Setups Parts Inspections 1. Using a plantwide overhead rate based on 4,250 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. Required 1 Required 2 Activity Driver $ 17,000 (20 machine setups) 13,600 (16,000 parts) 20,400 (100 inspections) $ 51,000 Per Unit Product A Product A Product B 1,700 units $ 27 per unit $ 47 per unit 2 per unit Direct Materials Product A 8 setups 10,000 parts Complete this question by entering your answers in the tabs below. Product B 340 units $ 37 per unit $ 57 per unit 2.50 per unit 40 inspections Direct Labor Using a plantwide overhead rate based on 4,250 direct labor hours, compute the total product cost per unit for each product. Product Cost per Unit Overhead Product B 12 setups. < Required 1 6,000 parts 60 inspections Required 2 >

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. Budgeted Cost Activity Machine setup Parts handling Quality inspections Total budgeted overhead Unit Information Units produced Direct materials cost Direct labor cost Direct labor hours Actual Activity Usage Setups Parts Inspections 1. Using a plantwide overhead rate based on 4,250 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. Required 1 Required 2 Activity Driver $ 17,000 (20 machine setups) 13,600 (16,000 parts) 20,400 (100 inspections) $ 51,000 Per Unit Product A Product A Product B 1,700 units $ 27 per unit $ 47 per unit 2 per unit Direct Materials Product A 8 setups 10,000 parts Complete this question by entering your answers in the tabs below. Product B 340 units $ 37 per unit $ 57 per unit 2.50 per unit 40 inspections Direct Labor Using a plantwide overhead rate based on 4,250 direct labor hours, compute the total product cost per unit for each product. Product Cost per Unit Overhead Product B 12 setups. < Required 1 6,000 parts 60 inspections Required 2 >

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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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. Budgeted Cost Activity Machine setup Parts handling Quality inspections Total budgeted overhead Unit Information Units produced Direct materials cost Direct labor cost Direct labor hours Actual Activity Usage Setups Parts Inspections 1. Using a plantwide overhead rate based on 4,250 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. Required 1 Required 2 Activity Driver $ 17,000 (20 machine setups). 13,600 (16,000 parts) 20,400 (100 inspections) $ 51,000 Product A 1,700 units $ 27 per unit $ 47 per unit 2 per unit Per Unit Product A Product B Product A 8 setups 10,000 parts Complete this question by entering your answers in the tabs below. Product B 340 units $ 37 per unit $ 57 per unit 2.50 per unit 40 inspections Direct Labor Using a plantwide overhead rate based on 4,250 direct labor hours, compute the total product cost per unit for each product. Direct Materials Product Cost per Unit Overhead Product B 12 setups 6,000 parts Required 1 60 inspections Required 2 >
Transcribed Image Text: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. Budgeted Cost Activity Machine setup Parts handling Quality inspections Total budgeted overhead Unit Information Units produced Direct materials cost Direct labor cost Direct labor hours Actual Activity Usage Setups Parts Inspections 1. Using a plantwide overhead rate based on 4,250 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. Required 1 Required 2 Activity Driver $ 17,000 (20 machine setups). 13,600 (16,000 parts) 20,400 (100 inspections) $ 51,000 Product A 1,700 units $ 27 per unit $ 47 per unit 2 per unit Per Unit Product A Product B Product A 8 setups 10,000 parts Complete this question by entering your answers in the tabs below. Product B 340 units $ 37 per unit $ 57 per unit 2.50 per unit 40 inspections Direct Labor Using a plantwide overhead rate based on 4,250 direct labor hours, compute the total product cost per unit for each product. Direct Materials Product Cost per Unit Overhead Product B 12 setups 6,000 parts Required 1 60 inspections Required 2 >
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