XYZ Co. manufactures baseball bats and wooden tops. Currently, the company makes 5,000 baseball bats each month. Each bat uses $1.00 in direct materials and $0.50 in direct labor. The company uses two activities in manufacturing the baseball bats: Cutting and Finishing. The cost associated with Cutting is $7,500 a month, allocated on the basis of direct labor hours. The cost associated with Finishing is $12,500 a month, allocated on the basis of batches. Baseball bats use 2/3 of the direct labor hours, and 40% of total batches. What is the total manufacturing cost for one baseball bat? O a. $3 Ob. $3.5 Oc. None of the given answer is correct. O d. $3.46 e. $2.96

XYZ Co. manufactures baseball bats and wooden tops. Currently, the company makes 5,000 baseball bats each month. Each bat uses $1.00 in direct materials and $0.50 in direct labor. The company uses two activities in manufacturing the baseball bats: Cutting and Finishing. The cost associated with Cutting is $7,500 a month, allocated on the basis of direct labor hours. The cost associated with Finishing is $12,500 a month, allocated on the basis of batches. Baseball bats use 2/3 of the direct labor hours, and 40% of total batches. What is the total manufacturing cost for one baseball bat? O a. $3 Ob. $3.5 Oc. None of the given answer is correct. O d. $3.46 e. $2.96

Name: XYZ Co.manufactures baseball bats and wooden tops. Currently, the com
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Description: XYZ Co.manufactures baseball bats and wooden tops. Currently, the company makes 5,000 baseball batseach month. Each bat uses $1.00 in direct materials and $0.50 in direct labor. The company uses twoactivities in manufacturing the baseball bats: Cutt

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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