5. Suppose that Dara manufactures 4 products: A, B, C and D. output and cost da for period just ended are as follows: 3 Output units 10 10 100 100 Number of production runs in the period hour rate) 225 2. ABC 2 2 5 Direct labor cost per hours: $5 Overhead costs Short-run variable costs Set-up costs Expediting and scheduling costs Materials handling costs 14 Material cost per unit 20 80 20 80 Direct labor hours per unit 1 3 1 3 Machine hours per un S 3,080 10,920 9,100 7,700 30,800 Required Prepare unit costs for each product using: 1. Conventional absorption costing, (Assume that, in the traditional absorption costing system, overheads are a direct lab 1 3 1 3
5. Suppose that Dara manufactures 4 products: A, B, C and D. output and cost da for period just ended are as follows: 3 Output units 10 10 100 100 Number of production runs in the period hour rate) 225 2. ABC 2 2 5 Direct labor cost per hours: $5 Overhead costs Short-run variable costs Set-up costs Expediting and scheduling costs Materials handling costs 14 Material cost per unit 20 80 20 80 Direct labor hours per unit 1 3 1 3 Machine hours per un S 3,080 10,920 9,100 7,700 30,800 Required Prepare unit costs for each product using: 1. Conventional absorption costing, (Assume that, in the traditional absorption costing system, overheads are a direct lab 1 3 1 3
Chapter6: Activity-based, Variable, And Absorption Costing
Section: Chapter Questions
Problem 5PB: Wrappers Tape makes two products: Simple and Removable. It estimates it will produce 369,991 units...
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Question
![5. Suppose that Dara manufactures 4 products: A, B, C and D. output and cost data
for period just ended are as follows:
A
B
с
D
Output units
10
10
100
100
Number of production
runs in the period
hour rate)
2
2
5
Direct labor cost per hours: $5
Overhead costs
Short-run variable costs
Set-up costs
Expediting and scheduling costs
Materials handling costs
2. ABC
5
14
Material cost
per unit
20
80
20
80
Direct labor
hours per unit
1
3
1
3
Machine
hours per unit
$
3,080
10,920
9,100
7,700
30,800
▪ Required
Prepare unit costs for each product using:
1. Conventional absorption costing,
(Assume that, in the traditional absorption costing system, overheads are a direct labor
1
3
1
3](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcebd4779-0d77-4934-b7cd-970817cc004d%2Fd77a40b6-e4b2-4942-9f46-c82eb69bdc6f%2Fuo7td5o_processed.png&w=3840&q=75)
Transcribed Image Text:5. Suppose that Dara manufactures 4 products: A, B, C and D. output and cost data
for period just ended are as follows:
A
B
с
D
Output units
10
10
100
100
Number of production
runs in the period
hour rate)
2
2
5
Direct labor cost per hours: $5
Overhead costs
Short-run variable costs
Set-up costs
Expediting and scheduling costs
Materials handling costs
2. ABC
5
14
Material cost
per unit
20
80
20
80
Direct labor
hours per unit
1
3
1
3
Machine
hours per unit
$
3,080
10,920
9,100
7,700
30,800
▪ Required
Prepare unit costs for each product using:
1. Conventional absorption costing,
(Assume that, in the traditional absorption costing system, overheads are a direct labor
1
3
1
3
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