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Ventana Company is a car window repair and replacement company operating in the after-sales market....

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Accounting

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Ventana Company is a car window repair and replacement company operating in the after-sales market. Ventana's purchasing manager uses two suppliers (Jones Glass and Claro Glass) for the source of its passenger car windows. Data relating to side windows (Side) and windshields (WS) are given below. I. Activity costs Activity Adverse buying* 744,000 Supplier returns** 94,800 * Extra cost of purchasing from local car dealer because of insufficient delivery of supplier. ** Windows returned because they were not ordered or because they were defective. II. Supplier Data Jones Glass Claro Glass Side WS Side WS $80 $135 $77 $132 15,000 15,000 35,000 Unit purchase price Units purchased Insufficient units Returned units 35,000 3,900 750 750 3,900 1,500 475 475 1,500 Required: 1. Calculate the activity rates for assigning costs to suppliers. Adverse buying rate per adverse purchase Supplier return rate per return 2. Calculate the total unit purchasing cost for each component for each supplier. If required, round your answers to the nearest cent. Total unit cost Jones Glass Claro Glass Side 9 WS $

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