1 24 r 40 021 comgene) This Test: 40 pts p fans and uses an activity -based cost
ID: 2405977 • Letter: 1
Question
1 24 r 40 021 comgene) This Test: 40 pts p fans and uses an activity -based costing system Each ceiling fan has 20 sepale parts. The deet materials cost s $70 and ach celling fan eqies & hours of machineS manufacture There is no direct labor Addisional information is as tollowrs Activity Materials handlingNumber of parts Machining Overhead Alocation Rate 5 0 05 Alocation lase Machine hours Number of parts Number of fnished units 02 2.7 Packaging What is the total manufachuring cost per ceiling fan? (Round any intermediate cakculations and your inal answer to the nearast cont ) O A. $103 00 ??. $7770 O C. $99 00 O D. $105 70Explanation / Answer
Answer:
Total Cost of manufacturing per ceiling fan=$105.70
Working notes for the above answer is as under
Direct Material
70
material Handling cost per unit (0.05x20)
1
Machining Cost per unit (7x4)
28
Cost of assembling per fan (0.2x20)
4
Packaging
2.7
Total Cost of manufacturing per ceiling fan
105.7
Direct Material
70
material Handling cost per unit (0.05x20)
1
Machining Cost per unit (7x4)
28
Cost of assembling per fan (0.2x20)
4
Packaging
2.7
Total Cost of manufacturing per ceiling fan
105.7
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.