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The company has the following information concerning its two products;
PRODUCT A PRODUCT B
Machine hours per unit Machine hours per unit
4 6
Total number of machine set ups per annum Total number of machine set ups per annum
5 2
Production units per annum Production units per annum
2000 3000
Budgeted machine setup cost for the year : N$ 200000.00
REQUIRED :
Question 1: Calculate the machine set-up cost per unit for product B if Jade (Pty) Ltd. uses a traditional cost allocation system based on production.
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The company budgeted making4,800units at3.5hours each with$924,000of VOH.The company actually produced3,000units. What was the actual VOH?
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