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Calculate the machine set-up cost per unit for product b

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Reference no: EM132562220

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.

Reference no: EM132562220

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