Question: Please answer the following question. Please provide any formulas or explanation needed. 8. Since you are the first managerial accountant the company has had they
8. Since you are the first managerial accountant the company has had they would like you to determine the product cost for two brunch meals by using Activity Based Costing. Use the data below to assist in your computations: (10 points) Direct material and direct labor cost are as follows: Breakfast Casserole Activity Direct Material Cost per Meal Direct Labor Cost per Meal Brunch Quesadillas $6 $4 $3 1 Indirect cost information includes the following: Activity Allocation Rate Set-up Cost |$8/per set-up Machine Maintenance Cost $6 / per hour Product X 10 set-ups 5 hours Product Y 5 set-ups 7.5 hours The caf plans to make 100 dishes of each brunch meal. a. What is the indirect cost per unit for each brunch meal? b. What is the product cost per unit for each brunch meal
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