Question: Please don't give Textbook Solution. P 11-21: Brickley Chains Brickley Chains produces five different styles of silver chains, A, B, C, D, and E, in

 Please don't give Textbook Solution. P 11-21: Brickley Chains Brickley Chains

Please don't give Textbook Solution.

P 11-21: Brickley Chains Brickley Chains produces five different styles of silver chains, A, B, C, D, and E, in a highly auto- mated batch machining process. The following table summarizes the production and cost data for the five products. Product A B Annual Volume 5,000 3,000 1,000 800 500 Direct Labor per Unit $2.00 2.50 3.00 4.00 5.00 Direct Material per Unit $4.00 4.50 5.00 6.00 7.00 E Annual overhead is $80,000. Required: a. Compute the unit cost of each chain, A-E, using absorption costing. Overhead is assigned to individual products using direct labor cost. b. Upon further analysis, you discover that the annual overhead of $80,000 consists entirely of the highly automated machining process. Each chain type is produced in batches with chains

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