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re activities (and related cost drivers). Each s identified below. Cost Driver 5,000 Number of parts 5,000 Number of parts D,000 Machine hours D,000 Direct labor hours D,000 Orders shipped D,000 he three product lines for next year:

re activities (and related cost drivers). Each s identified below. Cost Driver 5,000 Number of parts 5,000 Number of parts D,000 Machine hours D,000 Direct labor hours D,000 Orders shipped D,000 he three product lines for next year:

FINANCIAL ACCOUNTING
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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15* Use the two tables
Under an activity-based costing system, what is the per-unit overhead cost of Y? O a. None of the given answers O b. $282 O c. $164 O d. $440 O e. $272
Transcribed Image Text:Under an activity-based costing system, what is the per-unit overhead cost of Y? O a. None of the given answers O b. $282 O c. $164 O d. $440 O e. $272
XYZ Co. manufactures three types of remote-control devices: X, Y, and Z. The company, which uses activity-based costing, has identified five activities (and related cost drivers). Each activity, its budgeted cost, and related cost driver is identified below. Activity Cost Cost Driver Material handling $225,000 Number of parts Material insertion 2,475,000 Number of parts Automated machinery 840,000 Machine hours Finishing 170,000 Direct labor hours Packaging 170,000 Orders shipped Total $3,880,000 The following information pertains to the three product lines for next year: Y Units to be produced 10,000 5,000 2,000 Orders to be shipped 1,000 500 200 Number of parts per unit 10 15 25 WMachine hours per unit 1 3 5 Labor hours per unit 2)
Transcribed Image Text:XYZ Co. manufactures three types of remote-control devices: X, Y, and Z. The company, which uses activity-based costing, has identified five activities (and related cost drivers). Each activity, its budgeted cost, and related cost driver is identified below. Activity Cost Cost Driver Material handling $225,000 Number of parts Material insertion 2,475,000 Number of parts Automated machinery 840,000 Machine hours Finishing 170,000 Direct labor hours Packaging 170,000 Orders shipped Total $3,880,000 The following information pertains to the three product lines for next year: Y Units to be produced 10,000 5,000 2,000 Orders to be shipped 1,000 500 200 Number of parts per unit 10 15 25 WMachine hours per unit 1 3 5 Labor hours per unit 2)
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