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Unit product cost Product C Machine setups Purchase orders $ Activity Cost Pools Order size Total 58.19 Product D b. The company is considering using an activity-based costing system to compute unit product costs for external financial reports instead of its traditional system based on direct labor-hours. The activity-based costing system would use three activity cost pools. Data relating to these activities for the current period are given below: $ 73.26 Estimated Overhead Costs $ 12,890 77,340 94,680 $184,910 Product C 180 960 7,885 Expected Activity Product D 190 1,300 6,700 Total 370 2,260 14,585 Determine the unit product cost of each product for the current period using the activity-based costing approach. (Round your intermediate calculations and final answers to 2 decimal places.)

Unit product cost Product C Machine setups Purchase orders $ Activity Cost Pools Order size Total 58.19 Product D b. The company is considering using an activity-based costing system to compute unit product costs for external financial reports instead of its traditional system based on direct labor-hours. The activity-based costing system would use three activity cost pools. Data relating to these activities for the current period are given below: $ 73.26 Estimated Overhead Costs $ 12,890 77,340 94,680 $184,910 Product C 180 960 7,885 Expected Activity Product D 190 1,300 6,700 Total 370 2,260 14,585 Determine the unit product cost of each product for the current period using the activity-based costing approach. (Round your intermediate calculations and final answers to 2 decimal places.)

Cornerstones of Cost Management (Cornerstones Series)
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter4: Activity-based Costing
Section: Chapter Questions
Problem 8CE: Electan Company produces two types of printers. The company uses ABC, and all activity drivers are...
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Unit product cost Machine setups Purchase orders Product C Activity Cost Pools Order size Total $ Unit product cost 58.19 b. The company is considering using an activity-based costing system to compute unit product costs for external financial reports instead of its traditional system based on direct labor-hours. The activity-based costing system would use three activity cost pools. Data relating to these activities for the current period are given below: Estimated Overhead Product D $ Product C 73.26 Costs $ 12,890 77,340 94,680 $184,910 Product C 180 960 7,885 Product D Expected Activity Product D Determine the unit product cost of each product for the current period using the activity-based costing approach. (Round your intermediate calculations and final answers to 2 decimal places.) 190 1,300 6,700 Total 370 2,260 14,585
Transcribed Image Text:Unit product cost Machine setups Purchase orders Product C Activity Cost Pools Order size Total $ Unit product cost 58.19 b. The company is considering using an activity-based costing system to compute unit product costs for external financial reports instead of its traditional system based on direct labor-hours. The activity-based costing system would use three activity cost pools. Data relating to these activities for the current period are given below: Estimated Overhead Product D $ Product C 73.26 Costs $ 12,890 77,340 94,680 $184,910 Product C 180 960 7,885 Product D Expected Activity Product D Determine the unit product cost of each product for the current period using the activity-based costing approach. (Round your intermediate calculations and final answers to 2 decimal places.) 190 1,300 6,700 Total 370 2,260 14,585
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