Cullumber Inc. produces and sells three products. Unit data concerning each product is shown below. Product D E F Selling price $199.35 $332.60 $252.60 Direct labor costs 37.10 109.20 44.80 Other variable costs 96 83 147 The company has 2,200 hours of labor available to build inventory in anticipation of the company's peak season. Management is trying to decide which product should be produced. The direct labor hourly rate is $14. (a) Determine the number of direct labor hours per unit. (Round answers to 2 decimal places, e.g. 52.75.)
Cullumber Inc. produces and sells three products. Unit data concerning each product is shown below. Product D E F Selling price $199.35 $332.60 $252.60 Direct labor costs 37.10 109.20 44.80 Other variable costs 96 83 147 The company has 2,200 hours of labor available to build inventory in anticipation of the company's peak season. Management is trying to decide which product should be produced. The direct labor hourly rate is $14. (a) Determine the number of direct labor hours per unit. (Round answers to 2 decimal places, e.g. 52.75.)
Chapter6: Activity-based, Variable, And Absorption Costing
Section: Chapter Questions
Problem 14EA: Cool Pool has these costs associated with production of 20,000 units of accessory products: direct...
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