Necktar Ltd uses an activity-based costing system to account for its manufacturing overhead costs. The following...

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Necktar Ltd uses an activity-based costing system to account for its manufacturing overhead costs. The following information shows the cost drivers and cost allocation rates for Necktar's manufacturing overhead costs Activity Machine set-up Materials handling Machining Assembly Inspection Cost Driver Number of set-ups Number of parts Machine hours Direct labor hours Number of finished units During November 2022, 150 units were produced. For this production, Necktar had to make 10 machine setups in total. Cost Allocation Rate $30.00/set-up $0.30/part $15.60/hour $11.00/DL hour $14.40/finished unit To produce each unit, 57 parts were needed, 3.75 machine hours and 4.5 direct labour hours were used. Other manufacturing costs include: Direct materials cost $150 per finished unit, and direct labour costs are $300 per finished unit. Required Calculate the manufacturing cost per unit for November 2022. Show all workings. (16 marks) Necktar Ltd uses an activity-based costing system to account for its manufacturing overhead costs. The following information shows the cost drivers and cost allocation rates for Necktar's manufacturing overhead costs Activity Machine set-up Materials handling Machining Assembly Inspection Cost Driver Number of set-ups Number of parts Machine hours Direct labor hours Number of finished units During November 2022, 150 units were produced. For this production, Necktar had to make 10 machine setups in total. Cost Allocation Rate $30.00/set-up $0.30/part $15.60/hour $11.00/DL hour $14.40/finished unit To produce each unit, 57 parts were needed, 3.75 machine hours and 4.5 direct labour hours were used. Other manufacturing costs include: Direct materials cost $150 per finished unit, and direct labour costs are $300 per finished unit. Required Calculate the manufacturing cost per unit for November 2022. Show all workings. (16 marks)

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To calculate the manufacturing cost per unit for November 2022 we need to determine the costs associ... View the full answer