Required information [The following information applies to the questions displayed below.] Kilbourne Appliances produces two models of beverage coolers for homes and offices, the KA-15 and the KA-24. Data on operations and costs for March follow. Units produced Machine-hours Direct labor-hours Direct materials costs Direct labor costs Manufacturing overhead costs Total costs KA-15 600 360 750 $ 73,000 15,150 KA-24 400 540 1,750 $ 121,000 35,350 Total 1,000 900 2,500 $ 194,000 50,500 189, 150 $ 433,650 Required: a. Compute the individual product costs per unit assuming that Kilbourne Appliances uses the number of units to allocate overhead to the products. b. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct labor cost. c. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct material costs to allocate overhead to the products.
Required information [The following information applies to the questions displayed below.] Kilbourne Appliances produces two models of beverage coolers for homes and offices, the KA-15 and the KA-24. Data on operations and costs for March follow. Units produced Machine-hours Direct labor-hours Direct materials costs Direct labor costs Manufacturing overhead costs Total costs KA-15 600 360 750 $ 73,000 15,150 KA-24 400 540 1,750 $ 121,000 35,350 Total 1,000 900 2,500 $ 194,000 50,500 189, 150 $ 433,650 Required: a. Compute the individual product costs per unit assuming that Kilbourne Appliances uses the number of units to allocate overhead to the products. b. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct labor cost. c. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct material costs to allocate overhead to the products.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please provide answer in text (Without image)
![Required information
[The following information applies to the questions displayed below.]
Kilbourne Appliances produces two models of beverage coolers for homes and offices, the KA-15 and the KA-24. Data on
operations and costs for March follow.
Units produced
Machine-hours
Direct labor-hours.
Direct materials costs
Direct labor costs
Manufacturing overhead costs
Total costs
KA-15
Product costs per unit
600
360
750
$ 73,000
15,150
KA-24
KA-24
400
540
1,750
$ 121,000
35,350
Required:
a. Compute the individual product costs per unit assuming that Kilbourne Appliances uses the number of units to allocate overhead to
the products.
b. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct labor cost.
c. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct material costs to allocate overhead
to the products.
Total
1,000
900
2,500
$ 194,000
50,500
189,150
$ 433,650
Required A Required B
Required C
Compute the individual product costs per unit assuming that Kilbourne Appliances uses the number of units to allocate
overhead to the products.
Note: Do not round your intermediate calculations. Round your final answers to 2 decimal places.
KA-15](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F48bc8981-eb4d-4b1e-8442-da18a7578deb%2Fa88d5f1c-6b68-49ec-b24f-6c974069c6e6%2Fp33813l_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Kilbourne Appliances produces two models of beverage coolers for homes and offices, the KA-15 and the KA-24. Data on
operations and costs for March follow.
Units produced
Machine-hours
Direct labor-hours.
Direct materials costs
Direct labor costs
Manufacturing overhead costs
Total costs
KA-15
Product costs per unit
600
360
750
$ 73,000
15,150
KA-24
KA-24
400
540
1,750
$ 121,000
35,350
Required:
a. Compute the individual product costs per unit assuming that Kilbourne Appliances uses the number of units to allocate overhead to
the products.
b. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct labor cost.
c. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct material costs to allocate overhead
to the products.
Total
1,000
900
2,500
$ 194,000
50,500
189,150
$ 433,650
Required A Required B
Required C
Compute the individual product costs per unit assuming that Kilbourne Appliances uses the number of units to allocate
overhead to the products.
Note: Do not round your intermediate calculations. Round your final answers to 2 decimal places.
KA-15
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