Question: Please answer the following using excel so I could look at the formulas being used and learn. Thanks Jinko Pty Ltd produces circuit boards used

 Please answer the following using excel so I could look atthe formulas being used and learn. Thanks Jinko Pty Ltd produces circuit

Please answer the following using excel so I could look at the formulas being used and learn. Thanks

Jinko Pty Ltd produces circuit boards used in alarm systems. They are in the process of determining the costs and selling prices of three of their main circuit boards: Advanced, Boosted and Customised, for the month of September. It has been established that Jinko will sell 3,000 units of Advanced, 1,000 units of Boosted and 500 units of Customised. The per-unit requirements for the three circuit boards are as listed: Direct materials (grams) Direct labour (hours) Machine time (hours) Advanced Boosted Customised 50 75 100 2 1 2 4 0.5 Overheads are currently applied from three cost pools: Labour related, machine related and variable overhead. The costs of these costs pools and their relevant cost drivers are as follows: Cost pools Labour related Machine related Variable overhead Total costs $435,000 $560,000 $180,000 Cost driver Direct labour hours Machine hours Number of units The average cost of direct materials is $600 per kilogram and the wage rate is $80 per hour. A 20% mark-up from product cost is used to determine the selling price of all products. Jinko is considering the use of Activity Based Costing and has gathered the following information: Planned activity Budgeted Overhead Costs Cost Driver for cost driver Labour related overhead Production scheduling $94,500 Number of orders 370 Inspection $174,000 Number of inspections 8,000 Packaging and shipping $166,500 Number of units 4,500 $435,000 Cost Driver Planned activity for cost driver Budgeted Overhead Costs Machine related overhead Machine setup Machine insertion Machine soldering $176,400 $300,350 $83.250 $560,000 Number of setups Number of insertions Number of parts 17,000 1,320,000 207,500 Variable overhead General supplies Procurement Hazardous waste disposal $40,000 Machine hours $75,000 Number of parts $65,000 Grams of waste $180,000 7,000 207,500 60,000 Required per Unit Parts Inspections Machine setups Machine insertions Hazardous waste Orders Machine hours Advanced 25 1 2 120 10 grams 0.1 Boosted 70 2 5 480 15 grams 0.02 2 Customised 125 6 12 960 30 grams 0.1 4 1 REQUIRED: A. Determine the per-unit cost of each product using Jinko's original method of costing and establish the selling price for each product from the product costs (round to the nearest dollar). Determine the per-unit cost of each product using Activity Based Costing and determine the selling price for each product under Activity Based Costing (round to the nearest dollar). B

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!