Curts Casting manufactures metal parts in a large manufacturing facility. Curts customers order 100,000 tons of castings
Question:
Required
a. What cost per casting should the cost system report?
b. Given your answer to requirement (a) is there any cost of excess capacity? If yes, what is the cost of excess capacity and how should it be reported? If no, why not?
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Related Book For
Fundamentals of Cost Accounting
ISBN: 978-0077398194
3rd Edition
Authors: William Lanen, Shannon Anderson, Michael Maher
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