Harbour Company makes two models of electronic tablets, the Home and the Work. Basic production...
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Harbour Company makes two models of electronic tablets, the Home and the Work. Basic production information follows: Home Work Direct materials cost per unit $ 41 $ 63 Direct labor cost per unit 23 33 Sales price per unit 365 569 Expected production per month 690 units 470 units Harbour has monthly overhead of $198,760, which is divided into the following activity pools: Setup costs $ 86,400 Quality control 61,060 Maintenance 51,300 Total $ 198,760 The company also has compiled the following information about the chosen cost drivers: Home Work Total Number of setups 40 68 108 Number of inspections 330 380 710 Number of machine hours 1,500 1,200 2,700
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