Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the...

 

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Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the motor drives for several accounts. The process consists of a lean cell for each customer. The following information relates to only one customer's lean cell for the coming year. For the year, projected labor and overhead was $3,189,700 and materials costs were $34 per unit. Planned production included 5,344 hours to produce 16,700 motor drives. Actual production for August was 1,880 units, and motor drives shipped amounted to 1,500 units. Conversion costs are applied based on units of production From the foregoing information, determine the cell conversion cost rate. Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the motor drives for several accounts. The process consists of a lean cell for each customer. The following information relates to only one customer's lean cell for the coming year. For the year, projected labor and overhead was $3,189,700 and materials costs were $34 per unit. Planned production included 5,344 hours to produce 16,700 motor drives. Actual production for August was 1,880 units, and motor drives shipped amounted to 1,500 units. Conversion costs are applied based on units of production From the foregoing information, determine the cell conversion cost rate.

Answer rating: 100% (QA)

To determine the cell conversion cost rate we need to calculate the total conversion costs incurred ... View the full answer