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The Dawson Company manufactures small lamps and desk lamps. The following shows the activities per product and the total overhead information: Small Lamps - 3,000 units Desk Lamps - 6,000 units Activity Pool Setups Inspections Assembly (dlh) Setups 8,000 16,000 Activity Base Inspections Assembly (dlh) 9,000 15,000 24,000 24,000 28,000 16,000 12,000 Budgeted Activity Cost $60,000 $120,000 $280,000 Calculate the overhead per unit to be charged to small lamps. a. $17.50 b. $38.33 c. $39.17 O d. $75.00

The Dawson Company manufactures small lamps and desk lamps. The following shows the activities per product and the total overhead information: Small Lamps - 3,000 units Desk Lamps - 6,000 units Activity Pool Setups Inspections Assembly (dlh) Setups 8,000 16,000 Activity Base Inspections Assembly (dlh) 9,000 15,000 24,000 24,000 28,000 16,000 12,000 Budgeted Activity Cost $60,000 $120,000 $280,000 Calculate the overhead per unit to be charged to small lamps. a. $17.50 b. $38.33 c. $39.17 O d. $75.00

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The Dawson Company manufactures small lamps and desk lamps. The following shows the activities per product and the total overhead information: Small Lamps - 3,000 units Desk Lamps - 6,000 units Activity Pool Setups Inspections Assembly (dlh) Setups 8,000 16,000 b. $38.33 c. $39.17 O d. $75.00 Activity Base Inspections Assembly (dlh) 9,000 15,000 24,000 24,000 28,000 Calculate the overhead per unit to be charged to small lamps. a. $17.50 16,000 12,000 Budgeted Activity Cost $60,000 $120,000 $280,000
Transcribed Image Text:The Dawson Company manufactures small lamps and desk lamps. The following shows the activities per product and the total overhead information: Small Lamps - 3,000 units Desk Lamps - 6,000 units Activity Pool Setups Inspections Assembly (dlh) Setups 8,000 16,000 b. $38.33 c. $39.17 O d. $75.00 Activity Base Inspections Assembly (dlh) 9,000 15,000 24,000 24,000 28,000 Calculate the overhead per unit to be charged to small lamps. a. $17.50 16,000 12,000 Budgeted Activity Cost $60,000 $120,000 $280,000
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