Graise, Inc., manufactures and sells two products: Product C2 and Product M5.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The direct labor rate is $22.50 per DLH.The direct materials cost per unit is $124.20 for Product C2 and $144.00 for Product M5.

The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Required:
In all computations involving dollars in the following requirements, round off your answer to the nearest whole cent.
a.Compute the activity rates under the activity-based costing system.
b.Determine how much overhead would be assigned to each product under the activity-based costing system.
c.Determine the unit product cost of each product under the activity-based costing method.

Question

Graise, Inc., manufactures and sells two products: Product C2 and Product M5.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below:  The direct labor rate is $22.50 per DLH.The direct materials cost per unit is $124.20 for Product C2 and $144.00 for Product M5.

The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:  Required:
In all computations involving dollars in the following requirements, round off your answer to the nearest whole cent.
a.Compute the activity rates under the activity-based costing system.
b.Determine how much overhead would be assigned to each product under the activity-based costing system.
c.Determine the unit product cost of each product under the activity-based costing method.

Quizplus · Accepted Answer

The Answer of Graise, Inc., manufactures and sells two products: Product C2 and Product M5.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below:  The direct labor rate is $22.50 per DLH.The direct materials cost per unit is $124.20 for Product C2 and $144.00 for Product M5.

The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:  Required:
In all computations involving dollars in the following requirements, round off your answer to the nearest whole cent.
a.Compute the activity rates under the activity-based costing system.
b.Determine how much overhead would be assigned to each product under the activity-based costing system.
c.Determine the unit product cost of each product under the activity-based costing method.