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    gmcyukon Posts: 3, Reputation: 1
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    #1

    Sep 12, 2008, 07:47 PM
    managerial accounting
    Is this approach correct?

    variation of activity-based costing.

    Assembling products $140,000
    Preparing batches $241,150
    Axial milling $766,500

    Total $1147650
    x y total
    Assembling 3500 (10%) 31500 (90%) 35,000
    Preparing Bathces 560 (30%) 1295 (70%) 1855
    Axial milling 1540 (60%) 1015 (40%) 2555

    Determine the MOH cost per unit of each of the company's two proucts under
    activity based costing

    Assembling 140000x10%=14000
    Preparing bathces 241150x30%=72345
    Axial Milling 766500x60%=459900
    Total $546245

    assembling 140000x90%=126000
    Preparing batches 241150x70%=168805
    Axial milling 766500x40%=306600

    Total $601405

    Thanks,

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