Exercise 5-11A (Algo) Allocating facility-level costs and a product elimination decision LO 5-3 Adams Boards produces two kinds of skateboards. Selected unit data for the two boards for the last quarter follow: Shimano Boards Production costs Direct materials Direct labor Allocated overhead Total units produced and sold Total sales revenue a. Cost per unit b. Profit Adams allocates production overhead using activity-based costing. It allocates delivery expense and sales commissions, which amount to $54,500 per quarter, to the two products equally. Required a. Compute the per-unit cost for each product. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. b. Compute the profit for each product. Answer is complete but not entirely correct. Shimano Boards Basco Boards Basco Boards $ $ $24.10 $ 30.10 $ 15.05 4,100 $ 346,450 75.84 X $ 35,506 X $ $36.20 $ 51.20 $18.20 8,100 $ 980,100 108.93 X 97,767 X

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Exercise 5-11A (Algo) Allocating facility-level costs and a product elimination decision LO 5-3
Adams Boards produces two kinds of skateboards. Selected unit data for the two boards for the last quarter follow:
Production costs
Direct materials
Direct labor
Allocated overhead
Total units produced and sold
Total sales revenue
Adams allocates production overhead using activity-based costing. It allocates delivery expense and sales commissions, which
amount to $54,500 per quarter, to the two products equally.
Required
a. Compute the per-unit cost for each product.
Note: Do not round intermediate calculations. Round your answers to 2 decimal places.
b. Compute the profit for each product.
> Answer is complete but not entirely correct.
Shimano
Boards
a. Cost per unit
b. Profit
Basco Boards
Basco Boards Shimano Boards
$ 24.10
$ 30.10
$15.05
4,100
$ 346,450
$
$
75.84 × $
35,506 * $
$36.20
$ 51.20
$18.20
8,100
$ 980,100
108.93 X
97,767 X
Transcribed Image Text:Exercise 5-11A (Algo) Allocating facility-level costs and a product elimination decision LO 5-3 Adams Boards produces two kinds of skateboards. Selected unit data for the two boards for the last quarter follow: Production costs Direct materials Direct labor Allocated overhead Total units produced and sold Total sales revenue Adams allocates production overhead using activity-based costing. It allocates delivery expense and sales commissions, which amount to $54,500 per quarter, to the two products equally. Required a. Compute the per-unit cost for each product. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. b. Compute the profit for each product. > Answer is complete but not entirely correct. Shimano Boards a. Cost per unit b. Profit Basco Boards Basco Boards Shimano Boards $ 24.10 $ 30.10 $15.05 4,100 $ 346,450 $ $ 75.84 × $ 35,506 * $ $36.20 $ 51.20 $18.20 8,100 $ 980,100 108.93 X 97,767 X
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