Exam 9: Activity- Based Costing

Question

Chocorageous Corp. is a factory that manufactures two varieties of candy bars: Milk Chocolate and Dark Chocolate. They are in the process of evaluating all of their budgeting needs for the year and will be utilizing a traditional costing system. The Milk Chocolate bars use the following resources: Milk Chocolate, $48,900; Wrapping Paper, $10,110; Assembly Line Wages, $84,600; and Machine operators Wages, $46,200. The Dark Chocolate bars use the following resources: Dark Chocolate, $37,400; Paper Wrappers, $8,222; Assembly Line Wages, $72,400; and Machine operators Wages, $33,600. Chocorageous assigns Manufacturing Overhead (MOH) costs based on 86% of Direct Labor (DL) costs. What is the total cost per unit for the Milk Chocolate bars if Chocorageous will produce 134,680 Milk Chocolate bars this year? (Round your answer to two decimal places.)

Cost Accounting Has Purpose

Refresher on Cost Terms Road Map

Cost Behavior and Estimation

Cost-Volume-Profit Analysis

Cost Accounting Has Purpose

Mastering the Master Budget

Capital Budgeting Choices and Decisions

Job Costing

Variance Analysis and Standard Costing

Process Costing

Absorption Versus Variable Costing

Data Analytics

Support Department Costing

Joint Costs and Decision-Making

The Art and Science of Pricing to Optimize Revenue

Management Control Systems and Transfer Pricing

Business Strategy, Performance Measurement, and the Balanced Scorecard

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