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2 years ago

Fogerty Company makes two products, titanium Hubs and Sprockets. Data regarding the two products follow:

Business

1 answer:

Oliga [24]2 years ago

6 0

Answer:

Hubs Sprockets

Direct Materials 29 17

Direct Labor 13.3 5.7

Overhead 14.65 0.24

Unit Cost 56.95 22.94

Explanation:

Labor:

Hubs: 0.7 hours per unitx 19 labor rate = $13.3

Sprockets 0.3 x 19 = $5.7

Direct Materials:

Hubs $29

Sprockets $17

Overhead rate

Activity Pool Hub Sprockets

Machine Setups 225 125(55.56%) 100(44.44%)

Special processing 3900 3900

Machine Setups

27,000 x 55.56% /13,000 units: $ 1.1538

27,000 x 44.44% / 50,000 units $ 0.24

Special Processing

175,500/13,000 = $13.5

Total overhead

sprockets: $0.24

hubs: $14.65

Units cost:

hubs: 13.3 + 29 + 14.65 = 56.95

sprockets: 5.7 + 17 + 0.24 = 22.94

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