Question

In 2015, Naning Corporation incurred direct manufacturing costs of $49 per unit and manufacturing overhead costs of $500,000. The production activity for the four quarters of 2015 follows:


Required
a. Calculate a predetermined overhead rate based on the number of units produced during the year.
b. Allocate overhead costs to each quarter using the overhead rate computed in Requirement a.
c. Using the overhead allocation determined in Requirement b, calculate the total cost per unit for eachquarter.


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  • CreatedFebruary 07, 2014
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