Question

（processing orders is 28479）

CCL Corporation has provided the following data from its activity-based costing (ABC System Activity Pool Total Cost Total Activity 84,000 Assembly $1,137,360 machine hours Processing $26/10 1,100 orders orders 1,270 Inspection $97,155 inspection hours The company produces and sells 470 units of product W268 a year, requiring a total of 660 machine hours, 50 orders, and 40 inspection hours per year. The product's direct materials cost is $40.30 per unit and its direct labor cost is $42.22 per unit. The product sells for $118.00 per unit. According to the ABC system, the total product cost for W26B: O $55,460.00 O $13,290.90 $52,075.30 $16,675.60 None of the above

processing orders is 28479

Answer 1

Answer requirement as follows: A B 1 Particulars Amount 2 Direct Material $ 18,941.00 3 Direct Labor $19,843.40 4 Assemble cost $ 8,936.40 5 Processing orders cost $ 1,294.50 6 Inspection cost $ 3,060.00 7 Total product cost for W268 $52,075.30 Hence, $52,075.30 is correct answer. Calculations: A B 1 Particulars Amount 2 Direct Material =40.3*470 3 Direct Labor =42.22*470 4 Assemble cost =1137360/84000*660 5 Processing orders cost =28479/1100*50 6 Inspection cost =97155/1270*40 7 Total product cost for W268 =SUM(B2:B6)