Question:Using ABC, the total manufacturing costs for product Regular is? Victorious Company manufactures two types of Electronic Toy, the Regular and SuperPro. The following data havebeen obtained:RegularSuper ProDirect material cost per unitP33P38Direct labor cost per unitP32P44Direct labor hours12,0003,000Machine hours2,0004,000Engineering hours450450Number of set ups520Number of units8,0002,200Currently, overhead costs are assigned to products on the basis of direct labor hours, but the company decidedto adopt the ABC method of cost allocation. The overhead consists of the following items:Overhead Cost ItemCost DriverAmountNo. of setupsNo. of engineering hoursSetup costsP250,000Engineering costs180,000Machine costsNo. of machine hours900,000

Under ABC costing, the overhead costs are assigned to the products in the proportion of activity…

Victorious Company manufactures two types of Electronic Toy, the Regular and SuperPro. The following data hav been obtained: Regular Super Pro Direct material cost per unit Direct labor cost per unit Direct labor hours P33 Р38 P32 P44 12,000 3,000 Machine hours 2,000 4,000 Engineering hours Number of set ups 450 450 5 20 Number of units 8,000 2,200 Currently, overhead costs are assigned to products on the basis of direct labor hours, but the company decided to adopt the ABC method of cost allocation. The overhead consists of the following items: Overhead Cost Item Cost Driver Amount No. of setups No. of engineering hours Setup costs P250,000 Engineering costs 180,000 Machine costs No. of machine hours 900,000

Victorious Company manufactures two types of Electronic Toy, the Regular and SuperPro. The following data hav been obtained: Regular Super Pro Direct material cost per unit Direct labor cost per unit Direct labor hours P33 Р38 P32 P44 12,000 3,000 Machine hours 2,000 4,000 Engineering hours Number of set ups 450 450 5 20 Number of units 8,000 2,200 Currently, overhead costs are assigned to products on the basis of direct labor hours, but the company decided to adopt the ABC method of cost allocation. The overhead consists of the following items: Overhead Cost Item Cost Driver Amount No. of setups No. of engineering hours Setup costs P250,000 Engineering costs 180,000 Machine costs No. of machine hours 900,000

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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Similar questions

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