Question: BUOOK Show Me How ce from Cengage learning Printem Activity-Based Supplier Costing Clearsound uses Alpha Electronics and La Paz Company to buy two electronic components
BUOOK Show Me How ce from Cengage learning Printem Activity-Based Supplier Costing Clearsound uses Alpha Electronics and La Paz Company to buy two electronic components used in the manufacture of its cell phones: Component 125X and Component 30. Consider two activities: testing components and reordering components. After the two components are inserted, testing is done to ensure that the two components in the phones are working properly. Reordering occurs because one or both of the components have led the test and it is necessary to replenish component inventories Activity cost information and other data needed for supplier costing are as follows: I. Activity Costs Caused by Suppliers (testing failures and reordering as a result) Activity Costs Testing components $1,200,000 Reordering components 300,000 IT. Supplier Data Alpha Electronics La Paz Company 30Y 125X 30Y 125% Unit purchase price $10 $26 $12 $28 Units purchased 120,000 78,000 15,000 15,000 Falled tests 1,400 780 10 10 60 Number of reorders 40 0 0 Required: Determine the cost of each supplier by using ABC. Round Test and Reorder rates to the nearest dollar, and final answers to the nearest cent. Alpha Electronics La Pax Company 125X 30Y 125% 30Y Unit cost: $ 17.06 X 32.65 x Check My Work Save and Dalt Submit Assignment for Grading All work saved
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