Novak Manufacturing has five activity cost pools and two products (a budget tape vacuum and a...

Transcribed Image Text:

Novak Manufacturing has five activity cost pools and two products (a budget tape vacuum and a deluxe tape vacuum). Information is presented below: Activity Cost Pools Ordering and Receiving Machine Setup Machining Assembly Inspection Budget Deluxe $ Cost Driver $ Orders Setups Machine hours Parts Inspections Est. Overhead $141,000 307,800 1,020,000 1,620,000 311,000 per unit Est. Use of Cost Drivers Budget per unit 600 500 150,000 1,200,000 550 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, e.g. 12.25 and cost assigned to O decimal places, e.g. 2,500.) Overhead cost per unit Deluxe 400 400 100,000 800,000 450 Novak Manufacturing has five activity cost pools and two products (a budget tape vacuum and a deluxe tape vacuum). Information is presented below: Activity Cost Pools Ordering and Receiving Machine Setup Machining Assembly Inspection Budget Deluxe $ Cost Driver $ Orders Setups Machine hours Parts Inspections Est. Overhead $141,000 307,800 1,020,000 1,620,000 311,000 per unit Est. Use of Cost Drivers Budget per unit 600 500 150,000 1,200,000 550 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, e.g. 12.25 and cost assigned to O decimal places, e.g. 2,500.) Overhead cost per unit Deluxe 400 400 100,000 800,000 450

Answer rating: 100% (QA)

Particulars Ordering receiving Machine setup Machining Assembly Inspection Total overheads ... View the full answer