The Englewood plant of Scapens Medical manufactures two models of a surgical cranial saw blade: #303 and #604. These are the only two products planned for production in the plant this year. The accompanying data provide planned production for this year and the associated projected cost data.
Saw Blades
| #303 | #604 | |
| Projected production (units) | 7,500 | 9,200 |
| Unit Costs | ||
| Direct materials | $ 13.50 | $ 11.75 |
| Direct labor ($22/hour) | 33.00 | 27.50 |
| Manufacturing overhead | 52.50 | 43.75 |
| Selling and administrative | 18.60 | 19.40 |
| Unit cost | $117.60 | $102.40 |
Overhead is assigned to products based on direct labor hours. The overhead rate is established at the beginning of the year using a flexible budget. Fixed factory overhead from the flexible budget is projected to be $546,000.
Required:
Calculate the variable manufacturing overhead cost of producing an additional unit of Model #604.
We need at least 10 more requests to produce the solution.
0 / 10 have requested this problem solution
The more requests, the faster the answer.