Solution-What would the per unit product cost be reported

What would the per unit product cost be reported

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Reference no: EM133065507

Question - The company decides to compute product costs assuming they implement an Activity Based Costing (ABC) system. The company first assigns all overhead to one of six cost pools. The overhead cost pools and the cost drivers selected for those cost pools are:

Overhead Cost Pool Cost Pool Total Cost Pool Driver

Supervision $340,000 Direct labor hours

Material Handling $133,000 Direct material cost

Testing $150,000 Testing hours

Wastewater treatment $300,000 Wastewater generated (gal)

Equipment depreciation $500,000 Machine hours

Shipping $127,000 Weight (pounds)

What would the per unit product cost be reported for each product if this ABC system were implemented? Assume that the production mix and costs would remain as originally planned.

Reference no: EM133065507

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What would the per unit product cost be reported

Reference no: EM133065507

Reference no: EM133065507

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