Corporation manufactures two products. The cost accountant identifies two activity cost pools: setup activity and produc
Posted: Tue Nov 16, 2021 8:56 am
Corporation manufactures two products. The cost accountant identifies two activity cost pools: setup activity and product design activity. The following activity information has been provided below: products A B Units 100 unit 200 unit D. manufacturing labor cost $10,000 $20,000 D. material cost $20,000 $40,000 D. manufacturing labor hours 375 hrs 225 hrs. Number of setups 22 28 Number of parts 8 12 Manufacturing overhead costs: Setup cost $40,000 (a cost driver is number of setups) Design cost $80,000 (a cost driver is number of parts) 04 Assuming an activity-based costing system is used, what is the total manufacturing cost per unit of product "B"? O A $352 B. $652 C$552 OD 5452