Angel Manufacturing Company has developed the following activity cost information for its manufacturing activities:
$$\begin{array} { l l }
\text { Assembly } & \text { \$15 per hour } \
\text { Drilling } & \text { \$4 per hole } \
\text { Inspection } & \text { \$2 per inspection } \
\text { Machine setup } & \text { \$200 per batch } \
\text { Movement } & \text { \$15 per batch plus \$0.20 per lb. } \
\text { Shaping } & \text { \$25 per hour } \
\text { Welding } & \text { \$5 per inch }
\end{array}$$ Filling a batch order for 45 units with a combined weight of 200 pounds required:
●Three sets of inspections per unit
●Drilling four holes in each unit
●Completing 20 inches of welds on each unit
●0.6 hour of shaping for each unit
●One hour of assembly per unit
Calculate the total cost to produce a batch of 45 units.

Question

Angel Manufacturing Company has developed the following activity cost information for its manufacturing activities:
 $$\begin{array} { l l } 
\text { Assembly } & \text { \$15 per hour } \
\text { Drilling } & \text { \$4 per hole } \
\text { Inspection } & \text { \$2 per inspection } \
\text { Machine setup } & \text { \$200 per batch } \
\text { Movement } & \text { \$15 per batch plus \$0.20 per lb. } \
\text { Shaping } & \text { \$25 per hour } \
\text { Welding } & \text { \$5 per inch }
\end{array}$$ Filling a batch order for 45 units with a combined weight of 200 pounds required:
●Three sets of inspections per unit
●Drilling four holes in each unit
●Completing 20 inches of welds on each unit
●0.6 hour of shaping for each unit
●One hour of assembly per unit
Calculate the total cost to produce a batch of 45 units.

Quizplus · Accepted Answer

The Answer of Angel Manufacturing Company has developed the following activity cost information for its manufacturing activities:
 $$\begin{array} { l l } 
\text { Assembly } & \text { \$15 per hour } \
\text { Drilling } & \text { \$4 per hole } \
\text { Inspection } & \text { \$2 per inspection } \
\text { Machine setup } & \text { \$200 per batch } \
\text { Movement } & \text { \$15 per batch plus \$0.20 per lb. } \
\text { Shaping } & \text { \$25 per hour } \
\text { Welding } & \text { \$5 per inch }
\end{array}$$ Filling a batch order for 45 units with a combined weight of 200 pounds required:
●Three sets of inspections per unit
●Drilling four holes in each unit
●Completing 20 inches of welds on each unit
●0.6 hour of shaping for each unit
●One hour of assembly per unit
Calculate the total cost to produce a batch of 45 units.

Angel Manufacturing Company Has Developed the Following Activity Cost Information