Crystal Klear Ltd manufactures two types of headphones: Model101 and Model102.

The following is a list of the main activities undertaken to manufacture the headphones and their activity drivers for the month just ended.

Activity                                                    Activity Cost

Materials handling   (no. parts)                      214,500

Automated machining (no.hours)                  1,155,000

Packaging(no. orders)                                   150,000

Total:                                                             1,519,500

 Activity Drivers Consumed

Activity Drivers                 Model101         Model102             Total 

No. of units                            12,000               3000 .               15,000

No. of orders                           1,000                500                   1,500

No. of parts per unit                  10                     15                     25

No. of machine hours per unit     1                      3                      4

Additional information:

                                                   Model101     Model102     Total 

Direct labour costs ($)                  50,000           30,000       80,000

Direct material costs ($)               20,000            20,000       40,000

Question:

Under an activity-based costing (ABC) system, what is the cost of automated machining allocated to Model102?

 

Question:

Under an ABC system, what is the overhead cost allocated to Model102?

 

Question:

Under an ABC system, what is the total cost per unit of Model102?

Answer rating: 100% (QA)

ANSWER 1 128340 2 171340 3 7378 Stepbystep explanation I... View the full answer