Use the same information as in Question 1. The product’s direct materials cost is $18.40 per unit and its direct labor cost is $13.60 per unit.

According to the activity-based costing system, the average cost per unit of product K27 is closest to:

Question

Use the same information as in Question 1. The product’s direct materials cost is $18.40 per unit and its direct labor cost is $13.60 per unit.

According to the activity-based costing system, the average cost per unit of product K27 is closest to:

BlackTom AI · Accepted Answer

Activity-based costing assigns overhead to products using activity cost pools and driver rates; from Question 1 the ABC overhead allocated to product K27 is $59.48 per unit.

1) Relevant concepts
- Direct materials and direct labor are product-level (given here: $18.40 and $13.60).
- Activity-based costing (ABC) assigns manufacturing overhead to products by multiplying activity driver usage by activity rates (these rates and driver usages were determined in Question 1).
- Total unit cost = direct materials + direct labor + ABC-assigned overhead per unit.

2) Step-by-step reasoning and calculations
- Step A: Sum the direct costs:
  Direct materials = $18.40
  Direct labor = $13.60
  Direct costs subtotal = $18.40 + $13.60 = $32.00
- Step B: Use the ABC overhead allocated per unit from Question 1:
  ABC overhead per unit (from Question 1) = $59.48
- Step C: Add overhead to direct costs to get average cost per unit:
  Total unit cost = Direct costs subtotal + ABC overhead
                 = $32.00 + $59.48
                 = $91.48

3) Intermediate steps shown
- $18.40 + $13.60 = $32.00
- $32.00 + $59.48 = $91.48

4) Why this answer is correct
- ABC explicitly provided the $59.48 overhead allocation for K27 (from Question 1). Adding that to the known direct materials and labor yields $91.48, which is the product’s average cost per unit under the ABC system.

5) Why the other choices are incorrect
- $94.68 would imply overhead of $94.68 − $32.00 = $62.68 per unit, which contradicts the ABC allocation ($59.48) from Question 1.
- $89.12 would imply overhead of $57.12 per unit, also inconsistent with the ABC allocation.
- $96.48 would imply overhead of $64.48 per unit, likewise inconsistent.
All three alternatives require different overhead per-unit amounts than the $59.48 determined by the ABC calculations in Question 1.

6) Conclusion
- The correct average cost per unit for product K27 under the ABC system is $91.48, which matches the provided answer.

Use the same information as in Question 1. The product’s direct materials cost is $18.40 per unit and its direct labor cost is $13.60 per unit. According to the activity-based costing system, the average cost per unit of product K27 is closest to:单项选择题

类似问题

Which is not a step in activity-based costing?

Which is not a task typically associated with ABC systems?

更多留学生实用工具

智能学习助手

风格化写作助手

论文查重助手

文献引用助手

课堂转译助手

课堂笔记助手

Quiz搜索助手

学校历年真题

智能刷题助手

智能匹配练习

希望你的学习变得更简单