ABC corporation applying normal costing system has provided the following data from its activity-bas
ABC corporation applying normal costing system has provided the following data from its activity-based costing system as follows:
Activities
Estimated Overhead Costs
Expected Cost Drivers Quantities
Cost Drivers
Assembly
120,500
10,000
Number of Machine Hours
Processing Orders
80,500
7,000
Number of Orders
Inspection
75,500
5,000
Number of Inspection Hours
Total
276,000
22,000
Actual Data concerning the company's product X appears below: Annual unit production and sales 500 units. Annual machine hours 5,000. Annual number of orders 4,500. Annual inspection hours 3,000. Direct material cost 150 per unit. Direct labor cost 100 per unit.
Required: Compute total costs per unit for the product X using activity-based costing system
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