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 Activity Rates Labor-related S 10.00 Machine-related $10.00 Machine setups $ 60.00 Production orders $ 100.00 Shipments S 180.00 General factory $10.00 Cost and activity data have been supplied for the following products: J78 Direct materials cost per unit $ 3.00 Direct labor cost per unit $ 5.00 Number of units produced per year 2,000 Total Expected Activity B52 1,500 2,000 3 4 5 J78 Direct labor-hours Machine-hours per direct labor-hour per machine-hour per setup per order per shipment per direct labor-hour Machine setups Production orders Shipments J78 = B52 = 50 30 2 2 2 B52 $ 46.00 $ 5.00 200 Required: Compute the unit product cost of each product listed above. (Do not round Intermediate calculations. Round your answers to 2 decimal places.) UNIT PRODUCT COST-

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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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 Activity Rates
Labor-related
$ 10.00
Machine-related $ 10.00
Machine setups $ 60.00
Production orders $ 100.00
Shipments $ 180.00
General factory $ 10.00
Cost and activity data have been supplied for the following products:
per direct labor-hour
per machine-hour
per setup
per order
per shipment
per direct labor-hour
J78
Direct labor-hours
Machine-hours
Machine setups
Production orders
Shipments
Direct materials cost per unit
Direct labor cost per unit
Number of units produced per year 2,000
Total Expected Activity
B52
1,500
2,000
3
4
5
J78
$3.00
$ 5.00
J78 =
B52 =
50
30
2
2
2
B52
$ 46.00
$ 5.00
200
Required:
Compute the unit product cost of each product listed above. (Do not round Intermediate calculations. Round your answers to 2 decimal places.)
UNIT PRODUCT COST-
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 Activity Rates Labor-related $ 10.00 Machine-related $ 10.00 Machine setups $ 60.00 Production orders $ 100.00 Shipments $ 180.00 General factory $ 10.00 Cost and activity data have been supplied for the following products: per direct labor-hour per machine-hour per setup per order per shipment per direct labor-hour J78 Direct labor-hours Machine-hours Machine setups Production orders Shipments Direct materials cost per unit Direct labor cost per unit Number of units produced per year 2,000 Total Expected Activity B52 1,500 2,000 3 4 5 J78 $3.00 $ 5.00 J78 = B52 = 50 30 2 2 2 B52 $ 46.00 $ 5.00 200 Required: Compute the unit product cost of each product listed above. (Do not round Intermediate calculations. Round your answers to 2 decimal places.) UNIT PRODUCT COST-
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