PLEASE SHOW YOUR CALCULATION, THANK YOU Rims Posts Unit 0.60 0.30 Production 30,000 units...
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PLEASE SHOW YOUR CALCULATION, THANK YOU
Rims Posts Unit 0.60 0.30 Production 30,000 units 130,000 units Additional information about the company follows: a. Rims require $12 in direct materials per unit, and posts require $5. b. The direct labour wage rate is $17 per hour. c. Rims are more complex to manufacture than posts, and they require special equipment. d. The ABC system has the following activity cost pools: Activity Activity Measure Number of setups Machine-hours Direct labour-hours Activity Cost Pool Machine setups Special processing General factory Estimated Overhead Cost $36,400 $330,000 $1,254,000 Posts 130 Rims 150 6,000 18,000 Total 280 6,000 57,000 39,000 Required: 1. Compute the activity rate for each activity cost pool. Activity Cost Pool Machine setups Special processing General factory Activity Rate per setup per MH per DLH 2. Determine the unit cost of each product according to the ABC system, including direct materials and direct labour. (Round your intermediate calculations and final answers to 2 decimal places.) Rims Posts Unit costGet Answers to Unlimited Questions
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