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abu ali abu ali
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Posts: 67
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3 years ago
Vermont Instruments manufactures two models of calculators. The finance model is the Fin-X and the scientific model is the Sci-X. Both models are assembled in the same plant and require the same assembling operations. The difference between the models is in the cost of the parts.

The following data are available for June:

Number of units

Fin-X: 11,000
Sci-X: 38,000

Total   49,000

Parts cost per unit

Fin-X: $22
Sci-X: $23  

Other costs:        

Direct labor      $55,500
Indirect materials       19,300
Overhead       72,200
Total      $147,000

Required:

Vermont Instruments uses operations costing and assigns conversion costs based on the number of units assembled. Compute the cost per unit of the Fin-X and Sci-X models for June.
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bio_manbio_man
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3 years ago
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