CC Ltd. produces three products, and absorbs production scheduling costs on the basis of the number of
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Question:
CC Ltd. produces three products, and absorbs production scheduling costs on the basis of the number of machine set-ups required, with one set-up required per batch of output, regardless of which product is being produced. Estimated information for next year is given below.
Product | A | B | C |
Output (units) | 10,000 | 20,000 | 20,000 |
Units per batch | 500 | 2,000 | 1,000 |
Production scheduling costs 50,000. Using set-ups as the absorption basis, what is the production scheduling cost per unit of product A?
The cost is . (round to 2 decimals)
Related Book For
Management Accounting Information for Decision-Making and Strategy Execution
ISBN: 978-0137024971
6th Edition
Authors: Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, S. Mark Young
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