Solution-Determine the unit costs of cams and shafts using

Determine the unit costs of cams and shafts using abc

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Reference no: EM133170249

Question - Two-Stage ABC for Manufacturing -

Columbus Foundry, a large manufacturer of heavy equipment components, has determined the following activity cost pools and cost driver levels for the year:

Activity cost pool	Activity cost	Activity cost driver
Machine setup	$600,000	12,000 setup hours
Material handling	120,000	2,000 tons of materials
Machine operation	500,000	10,000 machine hours

The following data are for the production of single batches of two products, C23 Cams and U2 Shafts:

	C23 Cams	U2 Shafts
Units produced	500	400
Machine hours	2	5
Direct labor hours	300	500
Direct labor cost	$5,000	$10,000
Direct materials cost	$30,000	$20,000
Tons of materials	12.5	8
Setup hours	5	7

Required - Determine the unit costs of C23 Cams and U2 Shafts using ABC.

Reference no: EM133170249

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Determine the unit costs of cams and shafts using abc : Columbus Foundry, a large manufacturer of heavy equipment components, Determine the unit costs of C23 Cams and U2 Shafts using ABC

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Determine the unit costs of cams and shafts using abc

Reference no: EM133170249

Reference no: EM133170249

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