197 Using ABC to compute product costs per unit Learning Ob ohnstone Corp. manufactures mid-fi and hi-fi stereo receivers. The following data have been summarized Mid-Fi Hi-Fi Direct materials cost per unit Direct labor cost per unit Indirect manufacturing cost per unit $ 800 1,500 100 200
Expert Answer
Mid-fi | Hi-fi | |
Setup | 45500 | 45500 |
Inspection | 22500 | 9000 |
Machine maintenance | 19200 | 16200 |
Total | 87200 | 70700 |
Units | 200 | 250 |
Indirect manufacturing cost per unit | 436 | 282.8 |
Mid-fi | Hi-fi | |
Direct materials | 800 | 1500 |
Direct labor | 200 | 100 |
Indirect manufacturing cost per unit | 436 | 282.8 |
Total | 1436 | 1882.8 |