Question: Indigo Manufacturing has five activity cost pools and two products (a budget tape vacuum and a deluxe tape vacuum). Information is presented below: Est. Use

 Indigo Manufacturing has five activity cost pools and two products (a

Indigo Manufacturing has five activity cost pools and two products (a budget tape vacuum and a deluxe tape vacuum). Information is presented below: Est. Use of Cost Drivers Budget Deluxe Cost Driver Est. Overhead Orders $ 151,000 600 400 Activity Cost Pools Ordering and Receiving Machine Setup Machining Assembly 317,700 500 400 Setups Machine hours 1.030.000 150,000 100,000 Parts 1.630,000 1.200,000 800,000 Inspection Inspections 321.000 550 450 Compute the overhead cost per unit for each product. Production is 700,000 units of Budget and 200.000 units of Deluxe Round per machine hour and per part values to 3 decimal places, eg. 52.711. Round overhead cost per unit to 2 decimal places, es 12.25 and cost assigned to decimal places, es 2,500.) Overhead cost per unit Budget $ per unit Deluxe $ per unit

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!