Product Name

Direct Material

Direct Labor

Units

# of Machine Setups

Machine Hours

Direct Labor Hours

# of Orders

Echo

$$242,000$

$$398,475$

$25,300$

$15$

$379,500$

$18,975$

$250$

Core

$$238,000$

$$913,500$

$58,000$

$20$

$870,000$

$43,500$

$610$

Bronze

$$237,000$

$$645,750$

$41,000$

$18$

$615,000$

$30,750$

$430$

Silver

$$228,900$

$$159,600$

$8,750$

$8$

$131,250$

$7,600$

$180$

Requirements

After constructing your spreadsheet answer the following questions?

What is the cost per unit of each product when direct labor hours are used as the cost driver for overhead allocation? $($should be $4$ answers$)$

How much overhead is allocated to the Echo product line when machine hours are used as the cost driver for overhead allocation?

What is the total cost of the Bronze product line when # of orders are used as the cost driver for overhead allocation?

What is the cost per unit of the Silver product line when the # of machine setups is used as the cost driver for overhead allocation?

What is the allocation rate when machine hours are used as the cost driver?

Answer rating: 100% (QA)

To answer these questions we need to calculate various costs and overhead allocations based on different cost drivers Lets break it down step by step ... View the full answer