Exercise 9-34 and 9-35 (Algo) [The following information applies to the questions displayed below.] Benton Corporation manufactures computer microphones, which come in two models: Standard and Premium. Data for a representative quarter for the two models follow: Units produced Production runs per quarter Direct materials cost per unit Direct labor cost per unit Supervision Setup labor Incoming inspection Total overhead Manufacturing overhead in the plant has three main functions: supervision, setup labor, and incoming material inspection. Data on manufacturing overhead for a representative quarter follow: Standard 16,400 50 $ 30 50 $ 338,250 393,600 282,900 $ 1,014,750 Using current costing system Using proposed ABC system xercise 9-35 (algo) Activity-Based Costing (LO 9-4) Premium 4,100 25 $ 64 75 equired: Compute the unit costs for the two products, Standard and Premium, using the current costing system at Benton (using direct labor costs as the allocation basis for overhead). Compute the unit costs for the two products, Standard and Premium, using the proposed ABC system at Benton. Note: For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places. Unit cost Standard Premium
Exercise 9-34 and 9-35 (Algo) [The following information applies to the questions displayed below.] Benton Corporation manufactures computer microphones, which come in two models: Standard and Premium. Data for a representative quarter for the two models follow: Units produced Production runs per quarter Direct materials cost per unit Direct labor cost per unit Supervision Setup labor Incoming inspection Total overhead Manufacturing overhead in the plant has three main functions: supervision, setup labor, and incoming material inspection. Data on manufacturing overhead for a representative quarter follow: Standard 16,400 50 $ 30 50 $ 338,250 393,600 282,900 $ 1,014,750 Using current costing system Using proposed ABC system xercise 9-35 (algo) Activity-Based Costing (LO 9-4) Premium 4,100 25 $ 64 75 equired: Compute the unit costs for the two products, Standard and Premium, using the current costing system at Benton (using direct labor costs as the allocation basis for overhead). Compute the unit costs for the two products, Standard and Premium, using the proposed ABC system at Benton. Note: For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places. Unit cost Standard Premium
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Required information
Exercise 9-34 and 9-35 (Algo)
[The following information applies to the questions displayed below.]
Benton Corporation manufactures computer microphones, which come in two models: Standard and Premium. Data for a
representative quarter for the two models follow:
Units produced
Production runs per quarter
Direct materials cost per unit
Direct labor cost per unit
Supervision
Setup labor
Incoming inspection
Total overhead
Manufacturing overhead in the plant has three main functions: supervision, setup labor, and incoming material inspection.
Data on manufacturing overhead for a representative quarter follow:
Standard
16,400
50
$ 30
50
$ 338,250
393,600
282,900
$ 1,014,750
Exercise 9-35 (algo) Activity-Based Costing (LO 9-4)
a. Using current costing system
b. Using proposed ABC system
Premium
4,100
25
$ 64
75
Required:
a. Compute the unit costs for the two products, Standard and Premium, using the current costing system at Benton (using direct labor
costs as the allocation basis for overhead).
b. Compute the unit costs for the two products, Standard and Premium, using the proposed ABC system at Benton.
Note: For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places.
Unit cost
Standard
Premium](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7be1bef2-77c6-46ad-ae76-fae184ecff15%2Fd62b4e60-1217-4c96-8aab-eab19f5ccf61%2Fy3002vc_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
Exercise 9-34 and 9-35 (Algo)
[The following information applies to the questions displayed below.]
Benton Corporation manufactures computer microphones, which come in two models: Standard and Premium. Data for a
representative quarter for the two models follow:
Units produced
Production runs per quarter
Direct materials cost per unit
Direct labor cost per unit
Supervision
Setup labor
Incoming inspection
Total overhead
Manufacturing overhead in the plant has three main functions: supervision, setup labor, and incoming material inspection.
Data on manufacturing overhead for a representative quarter follow:
Standard
16,400
50
$ 30
50
$ 338,250
393,600
282,900
$ 1,014,750
Exercise 9-35 (algo) Activity-Based Costing (LO 9-4)
a. Using current costing system
b. Using proposed ABC system
Premium
4,100
25
$ 64
75
Required:
a. Compute the unit costs for the two products, Standard and Premium, using the current costing system at Benton (using direct labor
costs as the allocation basis for overhead).
b. Compute the unit costs for the two products, Standard and Premium, using the proposed ABC system at Benton.
Note: For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places.
Unit cost
Standard
Premium
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