find cost per unit and the prices of them both in traditional and ABC system Product Alfa
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find cost per unit and the prices of them both in traditional and ABC system
Product | Alfa | Beta | ||
Production Units | 2,580 | 5100 | ||
Material Cost per unit | 31 | 51 | ||
Labour Cost per unit | 21 | 17 | ||
Machine Hours per unit | 11 | 6 | ||
Total overheads: 155,000 | ||||
Machine Hours: 58980 hrs | ||||
Allocation of Overheads | ||||
Set up Costs 30% | ||||
Inspections 40% | ||||
Materials Handling 30% | ||||
Costs Pools | ||||
Alfa | Beta | Total | ||
Setups | 400 | 65 | 465 | |
Inspections | 500 | 275 | 775 | |
Goods Movements | 625 | 1,700 | 2,325 |
Related Book For
Managerial Accounting Tools for Business Decision Making
ISBN: 978-1118856994
4th Canadian edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso, Ibrahim M. Aly
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