Business, 12.03.2021 15:30 Fhalcon543
Snavely, Inc., manufactures and sells two products: Product E1 and Product A7. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:Expected Production Direct Labor-Hours Per Unit Total Direct Labor-HoursProduct E1 900 2.0 1,800Product A7 600 1.0 600Total direct labor-hours 2,400The direct labor rate is $24.10 per DLH. The direct materials cost per unit for each product is given below:Direct MaterialsCost per UnitProduct E1 $282.00Product A7 $204.00The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:Estimated Expected ActivityActivity Cost Pools Activity Measures Overhead Cost Product E1 Product A7 TotalLabor-related DLHs $ 132,400 1,800 600 2,400Machine setups setups 62,430 1,000 600 1,600Order size MHs 976,450 3,700 3,400 7,100$ 1,171,280The total overhead applied to Product A7 under activity-based costing is closest to:
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Snavely, Inc., manufactures and sells two products: Product E1 and Product A7. Data concerning the e...
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