Value-Stream Costing Objective During the week of June 12, Harrison Manufacturing produced and shipped 15,000 units of its aluminum wheels: 3,000 units of Model A and 12,000 units of Model B. The following costs were incurred: Salaries/ Materials Order processing Wages $18,000 Machining Other Total Cost $18,000 Production planning 36,000 36,000 Purchasing 27,000 27,000 Stamping $375,000 37,500 Welding 150,000 42,000 $36,000 42,000 $18,000 466,500 12,000 246,000 Cladding 75,000 75,000 Testing 10,500 10,500 Packaging and shipping 9,000 9,000 12,000 12,000 Invoicing Total $600,000 $192,000 $78,000 $30,000 $900,000 Required: 2. Calculate the unit cost for Models A and B. Unit Cost Model A Model B 3. What if Model A is responsible for 40 percent of the materials cost? Calculate the unit materials cost for Models A and B. Unit Cost Model A Model B $ Calculate the total unit cost for Models A and B. Unit Cost Model A Model B $ Condhaal
Value-Stream Costing Objective During the week of June 12, Harrison Manufacturing produced and shipped 15,000 units of its aluminum wheels: 3,000 units of Model A and 12,000 units of Model B. The following costs were incurred: Salaries/ Materials Order processing Wages $18,000 Machining Other Total Cost $18,000 Production planning 36,000 36,000 Purchasing 27,000 27,000 Stamping $375,000 37,500 Welding 150,000 42,000 $36,000 42,000 $18,000 466,500 12,000 246,000 Cladding 75,000 75,000 Testing 10,500 10,500 Packaging and shipping 9,000 9,000 12,000 12,000 Invoicing Total $600,000 $192,000 $78,000 $30,000 $900,000 Required: 2. Calculate the unit cost for Models A and B. Unit Cost Model A Model B 3. What if Model A is responsible for 40 percent of the materials cost? Calculate the unit materials cost for Models A and B. Unit Cost Model A Model B $ Calculate the total unit cost for Models A and B. Unit Cost Model A Model B $ Condhaal
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter9: Standard Costing: A Functional-based Control Approach
Section: Chapter Questions
Problem 30P: Algers Company produces dry fertilizer. At the beginning of the year, Algers had the following...
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