The following data are for the two products produced by Tadros Company. Product B $25 per unit Product A $15 per unit 0.5 DLH per unit 0.4 MH per unit 200 batches 16,000 units. 1.5 DLH per unit 1.2 MH per unit 360 batches 16 modifications. 800 customers. $50 per unit Direct materials. Direct labor hours Machine hours Batches Volume Engineering modifications Number of customers Market price The company's direct labor rate is $20 per direct labor hour (DLH). Additional information follows. Costs Driver Indirect manufacturing Engineering support Electricity Setup costs Nonmanufacturing 3,600 units 84 modifications 720 customers $200 per unit Customer service $ 53,600 Engineering modifications 42,880 Machine hours 171,520 Batches 129,200 Number of customers. Required: (Round your per unit cost answers to 2 decimal places and other answers to nearest whole number. Loss amounts should be indicated with minus sign.) 1. Compute the manufacturing cost per unit using the plantwide overhead rate based on direct labor hours. < Prev A 3 of 3 www www B Next > PATATIN
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
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