Question: Can Someone work #2 and explain how you got the answers for me! 2. Determine the unit product cost of each product according to the
Can Someone work #2 and explain how you got the answers for me!


2. Determine the unit product cost of each product according to the ABC system. (Round intermediate calculations and nal answers to 2 decimal places.) Direct materials - Direct labor Fogerty Company makes two products, titanium Hubs and Sprockets. Data regarding the two products follow: Direct Labor- Hours per Annual Unit Production Hubs 0.60 22,000 units Sprockets 0.20 43,000 units Additional information about the company follows: a. Hubs require $33 in direct materials per unit, and Sprockets require $17. b. The direct labor wage rate is $12 per hour. c. Hubs are more complex to manufacture than Sprockets and they require special equipment. d. The ABC system has the following activity cost pools: Activity Estimated Activity Cost Pool (Activity Measure) Overhead Cost Hubs Sprockets Total Machine setups (number of setups) $ 13,680 80 64 144 Special processing (machine-hours} $ 282,000 4,700 0 4,700 General factory (organization-sustaining) $ 90,600 NA NA NA
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
