Required information Heidelberg Fabrication manufactures two products, G-09 and G-35: G-09 Units produced 18,300 G-35 3,660...
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Required information Heidelberg Fabrication manufactures two products, G-09 and G-35: G-09 Units produced 18,300 G-35 3,660 Direct materials cost per unit $ 7 Machine-hours per unit 4 $ 19 7 Production runs per quarter 144 72 Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overhead at the plant follow: Machine depreciation Setup labor Materials handling $ 98,820 49,410 39,528 Total $ 187,758 Required: a. Compute the unit costs for the two products, G-09 and G-35, using the current costing system at Heidelberg (using machine-hours as the allocation basis). b. Compute the unit costs for the two products, G-09 and G-35, using the proposed ABC system at Heidelberg. Note: For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places. a. Using current costing system b. Using proposed ABC system Unit Cost G-09 G-35 Required information Heidelberg Fabrication manufactures two products, G-09 and G-35: G-09 Units produced 18,300 G-35 3,660 Direct materials cost per unit $ 7 Machine-hours per unit 4 $ 19 7 Production runs per quarter 144 72 Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overhead at the plant follow: Machine depreciation Setup labor Materials handling $ 98,820 49,410 39,528 Total $ 187,758 Required: a. Compute the unit costs for the two products, G-09 and G-35, using the current costing system at Heidelberg (using machine-hours as the allocation basis). b. Compute the unit costs for the two products, G-09 and G-35, using the proposed ABC system at Heidelberg. Note: For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places. a. Using current costing system b. Using proposed ABC system Unit Cost G-09 G-35
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