Question: The following data are for the two products produced by Tadros Company. Product A Product B Direct materials $ 14 per unit $ 25 per

The following data are for the two products produced by Tadros Company.

Product A Product B
Direct materials $ 14 per unit $ 25 per unit
Direct labor hours 0.4 DLH per unit 1.6 DLH per unit
Machine hours 0.3 MH per unit 1.2 MH per unit
Batches 125 batches 250 batches
Volume 10,000 units 2,000 units
Engineering modifications 9 modifications 45 modifications
Number of customers 500 customers 400 customers
Market price $ 35 per unit $ 95 per unit

The company's direct labor rate is $20 per direct labor hour (DLH). Additional information follows.

Costs Driver
Indirect manufacturing
Engineering support $ 24,500 Engineering modifications
Electricity 27,000 Machine hours
Setup costs 41,000 Batches
Nonmanufacturing
Customer service 72,000 Number of customers

 The following data are for the two products produced by Tadros

Company. Product A Product B Direct materials $ 14 per unit $

25 per unit Direct labor hours 0.4 DLH per unit 1.6 DLH

per unit Machine hours 0.3 MH per unit 1.2 MH per unit

Required: (Round your per unit cost answers to 2 decimal places and other answers to nearest whole number. Loss amounts should be indicated with minus sign.) 1. Compute the manufacturing cost per unit using the plantwide overhead rate based on direct labor hours 0 per direct labor hour Activity Plantwi Driver OH Cost per unit Plantwide OH rate Total Overhead Cost Units Produced Overhead Assigned Product A Product B ProductA Product B 32.00 1.2 What is the gross profit per unit? ProductA Product B Market price Gross profit per unit

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