1 Redfern Audio produces audio equipment including headphones. At the Campus Facility, it produces two wireless models, Standard and Enhanced, which differ both in the materials and components used and in the labor skill required. Data for the Campus Plant for the third quarter follow. 10 points Units produced Skipped Machine-hours Direct labor-hours Direct materials costs Standard 24,000 14,400 18,000 $ 480,000 Enhanced 8,000 9,600 18,000 $ 720,000 Total 32,000 24,000 36,000 Direct labor costs 288,000 612,000 eBook Manufacturing overhead Total costs $ 1,200,000 900,000 864,000 $ 2,964,000 Required: Print References a. Compute the individual product costs per unit assuming that Redfern Audio uses direct labor costs to allocate overhead to the products. b. Compute the individual product costs per unit assuming that Redfern Audio uses material costs to allocate overhead to the products. Required A Required B Compute the individual product costs per unit assuming that Redfern Audio uses material costs to allocate overhead to the products. Note: Round your answers to 2 decimal places. Product costs per unit Standard Enhanced < Required A Required B 1 10 points Skipped Redfern Audio produces audio equipment including headphones. At the Campus Facility, it produces two wireless models, Standard and Enhanced, which differ both in the materials and components used and in the labor skill required. Data for the Campus Plant for the third quarter follow. Units produced Machine-hours Direct labor-hours Direct materials costs Standard 24,000 14,400 18,000 $ 480,000 288,000 Enhanced 8,000 9,600 18,000 $ 720,000 Total 32,000 24,000 36,000 $ 1,200,000 612,000 900,000 864,000 Total costs eBook $ 2,964,000 Direct labor costs Manufacturing overhead Print References Required: a. Compute the individual product costs per unit assuming that Redfern Audio uses direct labor costs to allocate overhead to the products. b. Compute the individual product costs per unit assuming that Redfern Audio uses material costs to allocate overhead to the products. Required A Required B Compute the individual product costs per unit assuming that Redfern Audio uses direct labor costs to allocate overhead to the products. Note: Round your answers to 2 decimal places. Product costs per unit Standard Enhanced < Required A Required B >

1 Redfern Audio produces audio equipment including headphones. At the Campus Facility, it produces two wireless models, Standard and Enhanced, which differ both in the materials and components used and in the labor skill required. Data for the Campus Plant for the third quarter follow. 10 points Units produced Skipped Machine-hours Direct labor-hours Direct materials costs Standard 24,000 14,400 18,000 $ 480,000 Enhanced 8,000 9,600 18,000 $ 720,000 Total 32,000 24,000 36,000 Direct labor costs 288,000 612,000 eBook Manufacturing overhead Total costs $ 1,200,000 900,000 864,000 $ 2,964,000 Required: Print References a. Compute the individual product costs per unit assuming that Redfern Audio uses direct labor costs to allocate overhead to the products. b. Compute the individual product costs per unit assuming that Redfern Audio uses material costs to allocate overhead to the products. Required A Required B Compute the individual product costs per unit assuming that Redfern Audio uses material costs to allocate overhead to the products. Note: Round your answers to 2 decimal places. Product costs per unit Standard Enhanced < Required A Required B 1 10 points Skipped Redfern Audio produces audio equipment including headphones. At the Campus Facility, it produces two wireless models, Standard and Enhanced, which differ both in the materials and components used and in the labor skill required. Data for the Campus Plant for the third quarter follow. Units produced Machine-hours Direct labor-hours Direct materials costs Standard 24,000 14,400 18,000 $ 480,000 288,000 Enhanced 8,000 9,600 18,000 $ 720,000 Total 32,000 24,000 36,000 $ 1,200,000 612,000 900,000 864,000 Total costs eBook $ 2,964,000 Direct labor costs Manufacturing overhead Print References Required: a. Compute the individual product costs per unit assuming that Redfern Audio uses direct labor costs to allocate overhead to the products. b. Compute the individual product costs per unit assuming that Redfern Audio uses material costs to allocate overhead to the products. Required A Required B Compute the individual product costs per unit assuming that Redfern Audio uses direct labor costs to allocate overhead to the products. Note: Round your answers to 2 decimal places. Product costs per unit Standard Enhanced < Required A Required B >

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 27E: Plata Company has identified the following overhead activities, costs, and activity drivers for the...

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