Reference no: EM132507600
Woodlawn produces two types of optical mirrors. At the beginning of the year, the following budgeted data were prepared:
Mirror A Mirror B
Quantity 10,000 80,000
Selling Price $900 $750
Direct Labor/Materials Costs $529 $483
Overhead cost data were budgeted:
Activity Activity Cost Driver Mirror A Mirror B
Setups $200,000 # setups 300 setups 200 setups
Utilities 100,000 Machine Hrs 1,000 hrs. 4,000 hrs.
Packing 200,000 # Orders 10,000 orders 40,000 orders
Question a. Calculate the overhead rate for each overhead activity:
Setups ________ Utilities ________ Packing ________
Question b. Calculate the unit product cost for one Mirror A