da Sidha Karya Company is a family-owned company located in the village of Giany

Question

da Sidha Karya Company is a family-owned company located in the village of Gianyar on the island of Ball in Indonesia. The company produces a handcrafted Balinese musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for $911 Selected data for the company's operations last year follow Check my vw Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per units 15,000 12,000 3,000 Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative $ 260 $430 49 Pixed costss Fixed manufacturing overhead Pixed selling and administrative 670,000 $480,000 ces Required: 1. Assume that the company uses absorption costing. Compute the unit product cost for one gamelan (Round your intermediate calculations and final answer to the nearest whole dollar amount.) 2. Assume that the company uses variable costing. Compute the unit product cost for one gamelan 1. Absorption costing unit product cost 2. Variable costing unit product cost 1 of 4 Next > Prev

Explanation / Answer

Calculate unit product cost under abosorption costing :

Calculate unit product cost under Variable costing :

Note : In absorption costing i am confuse in total fixed manufacturing overhead is 630000 or 620000 so pls see proper if 620000 then fixed manufacturing overhead cost per unit is 620000/15000 = 41 per unit

Direct material per unit 260 Direct labour per unit 430 Variable manufacturing overhead per unit 49 Fixed manufacturing overhead per unit (630000/15000) 42 Unit product cost 781

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