A Company has a single production process and it manufactures three products A, B and C by samepant & same process. The overheads & relevant costs drivers for a period are as follows:Data for the period:Fashed goods in units.Raw materiais required per unit of outputOrect labor hour per unit of output..Machine hour per unit of output..Ne of production runs per product..costShort-term-variableare expensesSet-up-cost...Serial handling costProductsActivitiesA7,0004kg14Cost driversMachine hoursDirect labor hoursProduction runsQty of materials (kgs.)TotalB5,0003kg310C3,0002kg32Overheads(Rs.)58,80066,60024,00029,400Rs.1,78,800Required: Overheads per unit under:Machine hour rateb.Activity based costingAns. a. Rs. 14.596 per unit, Rs. 10.947 per unit, Rs. 7.298 per unit b. Rs. 13.3 per unit, Rs. 12.4 per unit, 7.9 per unitCor under:

Overhead Absorption Rate :— It is the rate used to allocate manufacturing overhead to cost object.…

A Company has a single production process and it manufactures three products A, B and C by same plant & same process. The overheads & relevant costs drivers for a period are as follows: Data for the period: Fished goods in units. Raw materiais required per unit of output, Drect labor hour per unit of output.. Machine hour per unit of output.. Ne of production runs per product.. cost Short-term-vanable are expenses Set-up-cost... Material handling cost Products Activities A 7,000 4kg 14 Cost drivers Machine hours Direct labor hours Production runs Qty of materials (kgs.) Total B 5,000 3kg 3 10 C 3,000 2kg 3 2 Overheads (Rs.) 58,800 66,600 24,000 29,400 Rs.1,78,800 Required: Overheads per unit under: Machine hour rate b. Activity based costing Ans. a. Rs. 14.596 per unit, Rs. 10.947 per unit, Rs. 7.298 per unit b. Rs. 13.3 per unit, Rs. 12.4 per unit, 7.9 per unit Cor under

A Company has a single production process and it manufactures three products A, B and C by same plant & same process. The overheads & relevant costs drivers for a period are as follows: Data for the period: Fished goods in units. Raw materiais required per unit of output, Drect labor hour per unit of output.. Machine hour per unit of output.. Ne of production runs per product.. cost Short-term-vanable are expenses Set-up-cost... Material handling cost Products Activities A 7,000 4kg 14 Cost drivers Machine hours Direct labor hours Production runs Qty of materials (kgs.) Total B 5,000 3kg 3 10 C 3,000 2kg 3 2 Overheads (Rs.) 58,800 66,600 24,000 29,400 Rs.1,78,800 Required: Overheads per unit under: Machine hour rate b. Activity based costing Ans. a. Rs. 14.596 per unit, Rs. 10.947 per unit, Rs. 7.298 per unit b. Rs. 13.3 per unit, Rs. 12.4 per unit, 7.9 per unit Cor under

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 2PB: The following product costs are available for Kellee Company on the production of eyeglass frames:...

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Lillibridge & Friends, Incorporated provides you with the following data for its single product: Sales price per unit Fixed costs (per quarter): Selling, general, and administrative (SG&A) Manufacturing overhead Variable costs (per unit): Direct labor Direct materials Manufacturing overhead SG&A Number of units produced per quarter a. Prime cost per unit b. Contribution margin per unit c. Gross margin per unit d. Conversion cost per unit e. Variable cost per unit f. Full absorption cost per unit g. Variable production cost per unit h. Full cost per unit Required: Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. $ $ $ 160 1,500,000 4,500,000 500,000 units 600,000 units 41.00 $ 41.00 83.00 $ $ $ $ 19 22 20 16 500,000 units…
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