Heidelberg Fabrication manufactures two products, G-09 and G-35: \table[[, G- 69, G-35], [Units produced,18,700, 3, 740], [Direct materials cost per unit, $7,$19CHeidelberg Fabrication manufactures two products, G-09 and G-35:G-096-35Units produced18,7003,740Direct materials cost per unitMachine-hours per unit$ 7$ 19Production runs per quarter4144772Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overhead at theplant follow:Machine depreciationSetup laborMaterials handlingTotal$ 100,98050,49040,392$ 191,862Required:a. Compute the unit costs for the two products, G-09 and G-35, using the current costing system at Heidelberg (using machine-hoursas the allocation basis).b. Compute the unit costs for the two products, G-09 and G-35, using the proposed ABC system at Heidelberg.Note: For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places.Unit CostG-09G-35a. Using current costing system

Overhead is the total indirect costs incurred in connection with production of a product. Overheads…

Answered: Heidelberg Fabrication manufactures two…

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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Make-or-Buy, Traditional Analysis Wehner Company is currently manufacturing Part ABS-43, producing 59,300 units annually. The part is used in the production of several products made by Wehner. The cost per unit for ABS-43 is as follows: Direct materials $47.15 Direct labor 9.65 Variable overhead 2.30 Fixed overhead 4.65 Total $63.75 Of the total fixed overhead assigned to ABS-43, $14,766 is direct fixed overhead (the annual lease cost of machinery used to manufacture Part ABS-43), and the remainder is common fixed overhead. An outside supplier has offered to sell the part to Wehner for $58.92. There is no alternative use for the facilities currently used to produce the part. No significant non-unit-based overhead costs are incurred. Required: 1. Should Wehner Company make or buy Part ABS-43?Wehner should buy the part. This will produce total cost savings of $fill in the blank 2. 2. What is the maximum amount per unit that Wehner would be willing to pay to an outside…
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LL Requlred Information The following information applies to the questions displayed below] Cane Company manufactures two products called Alpha and Beta that sell for $225 and $175, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 130,000 units of each product Its average cost per unit for each product at this level of activity are given below. Alpha $42 Beta $ 24 32 24 Direct materials Direct labor Variable manufacturing overhead Traceable Fixed manufacturing overhead Variable selling expenses Common fixed expenses 42. 26. 34 31. 34. 27. Total cost per unit $173 The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. 2 What is the company's total amount of common fixed expenses? Total common fixed expenses. ( Prev of 15 2 3 4 Next e to search TPL F4 F5
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Subject :- Accounting
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