Cadott has the following estimates for the upcoming year:
Activity Cost Pool Activity Rate
M...
Cadott has the following estimates for the upcoming year:
Activity Cost Pool Activity Rate
Machine-hours $3.60 per machine-hour
Machine setups $260 per setup
Product testing $128 per test
Cost and activity information for two of Cadott’s products is as follows:
P34 W85
Direct materials $38,000 $34,250
Direct labor $23,000 $30,500
Machine-hours 1,560 1,260
Machine setups 31 86
Tests 56 56
Number of units produced during the year 10,000 25,000
Required:
Compute the unit product cost for product W85.
Answers: 1
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