Larner Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates: Activity Rates $ 8.00 per direct labor-hour Activity Cost Pool Labor-related Machine-related Machine setups Production orders Shipments $7.00 per machine-hour $50.00 per setup $ 100.00 per order $190.00 per shipment General factory $ 7.00 per direct labor-hour Cost and activity data have been supplied for the following products: Direct materials cost per unit Direct labor cost per unit Number of units produced per year Direct labor-hours Machine-hours Machine setups Production orders Shipments Unit product cost Total Expected Activity J78 378 1,200 3,000 7 3 mo 9 B52 50 40 B52 +++ 4 Required: Compute the unit product cost of each product listed above. (Do not round intermediate calculations. Round your answers to decimal places.) 378 $ 3.00 $ 4.50 1,000 B52 $ 35.00 $ 5.00 100
Larner Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates: Activity Rates $ 8.00 per direct labor-hour Activity Cost Pool Labor-related Machine-related Machine setups Production orders Shipments $7.00 per machine-hour $50.00 per setup $ 100.00 per order $190.00 per shipment General factory $ 7.00 per direct labor-hour Cost and activity data have been supplied for the following products: Direct materials cost per unit Direct labor cost per unit Number of units produced per year Direct labor-hours Machine-hours Machine setups Production orders Shipments Unit product cost Total Expected Activity J78 378 1,200 3,000 7 3 mo 9 B52 50 40 B52 +++ 4 Required: Compute the unit product cost of each product listed above. (Do not round intermediate calculations. Round your answers to decimal places.) 378 $ 3.00 $ 4.50 1,000 B52 $ 35.00 $ 5.00 100
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![Larner Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the
following six activity cost pools and activity rates:
Activity Cost Pool
Labor-related
Machine-related
Machine setups
Production orders
Shipments
$190.00 per shipment
General factory
$7.00 per direct labor-hour
Cost and activity data have been supplied for the following products:
Activity Rates
$ 8.00 per direct labor-hour
$7.00 per machine-hour
$50.00 per setup
$100.00 per order
Direct materials cost per unit
Direct labor cost per unit
Number of units produced per year
Direct labor-hours
Machine-hours
Machine setups
Production orders
Shipments
Unit product cost
Total Expected
Activity
J78
378
1,200
3,000
7
3
9
B52
50
40
B52
+++
Required:
Compute the unit product cost of each product listed above. (Do not round intermediate calculations. Round your answers to 2
decimal places.)
378
$ 3.00
$4.50
1,000
B52
$ 35.00
$5.00
100](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc89085e0-dfa7-432e-89df-5cd8b49a8e82%2F652d8c24-67f6-41a5-8ad2-d677ce01018b%2Fjhon6sc_processed.png&w=3840&q=75)
Transcribed Image Text:Larner Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the
following six activity cost pools and activity rates:
Activity Cost Pool
Labor-related
Machine-related
Machine setups
Production orders
Shipments
$190.00 per shipment
General factory
$7.00 per direct labor-hour
Cost and activity data have been supplied for the following products:
Activity Rates
$ 8.00 per direct labor-hour
$7.00 per machine-hour
$50.00 per setup
$100.00 per order
Direct materials cost per unit
Direct labor cost per unit
Number of units produced per year
Direct labor-hours
Machine-hours
Machine setups
Production orders
Shipments
Unit product cost
Total Expected
Activity
J78
378
1,200
3,000
7
3
9
B52
50
40
B52
+++
Required:
Compute the unit product cost of each product listed above. (Do not round intermediate calculations. Round your answers to 2
decimal places.)
378
$ 3.00
$4.50
1,000
B52
$ 35.00
$5.00
100
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