Required information Heidelberg Fabrication manufactures two products, G-09 and G-35: G-09 Units produced 19,800 G-35 3,960 Direct materials cost per unit $ 7 Machine-hours per unit Production runs per quarter 4 144 $ 19 7 72 Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overh plant follow: Machine depreciation Setup labor Materials handling Total $ 106,920 53,460 42,768 $ 203,148 Required: a. Compute the unit costs for the two products, G-09 and G-35, using the current costing system at Heidelberg (using as 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. a Using current costing system b. Using proposed ABC system G-09 Unit Cost G-35

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Required information
Heidelberg Fabrication manufactures two products, G-09 and G-35:
G-09
Units produced
19,800
G-35
3,960
Direct materials cost per unit
$ 7
Machine-hours per unit
Production runs per quarter
4
144
$ 19
7
72
Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overh
plant follow:
Machine depreciation
Setup labor
Materials handling
Total
$ 106,920
53,460
42,768
$ 203,148
Required:
a. Compute the unit costs for the two products, G-09 and G-35, using the current costing system at Heidelberg (using
as 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.
a Using current costing system
b. Using proposed ABC system
G-09
Unit Cost
G-35
Transcribed Image Text:Required information Heidelberg Fabrication manufactures two products, G-09 and G-35: G-09 Units produced 19,800 G-35 3,960 Direct materials cost per unit $ 7 Machine-hours per unit Production runs per quarter 4 144 $ 19 7 72 Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overh plant follow: Machine depreciation Setup labor Materials handling Total $ 106,920 53,460 42,768 $ 203,148 Required: a. Compute the unit costs for the two products, G-09 and G-35, using the current costing system at Heidelberg (using as 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. a Using current costing system b. Using proposed ABC system G-09 Unit Cost G-35
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